Fortress Investment Group is a New York based investment management firm. They were the first large equity firm to be traded publicly when the company was launched in 2007. The company is currently owned by an internal Japanese bank called Softbank. The company not only manages the funds of their clients but also acquires companies. One of its major acquisitions is of the Dunwoody Georgia-based fast-food chain, Krystal.
The Fortress Investment Group invests in and acquires distressed companies. The New York based company also protectors the investments of its clients. The company manages investments of wealthy clients and institutions including hedge funds and private equity funds. They offer traditional asset management services through the Logan Circle Partners. The hedge fund department of the company invests primarily in liquid assets. The company manages the investments of two major real estate companies called Newcastle Investment and Eurocastle Investment. The income of the company is derived from returns on its investments, performance-based investment revenues and, fees charged for services. The assets managed by the company are worth over $67 billion.
In May this year, the Fortress Investment Group and their operating partner, Golden Child Holdings purchased the Dunwoody Georgia-based fast-food chain, Krystal. The company has plans to accelerate the growth of Krystal and improve the overall customer experience. Krystal is well-known for its fast-food slider burgers. In January the company filed for Chapter 11 bankruptcy protection seeking to reorganize its debts and remaining open till it finishes the procedure. The company was on the market for sale as part of the procedure to reorganize its debts. Krystal has 182 restaurants in nine states. Franchisees own and operate 116 Krystal restaurants. After the acquisition by the Fortress Investment Group, Thomas Stager who has previously worked with Pizza Hut and Arby’s is the new president of Krystal.
Krystal fast-food has a cult following in South East US. All the restaurants remained open after the company filed for bankruptcy and offered a takeout and delivery services during the ongoing Covid-19 pandemic. The Fortress Investment Group has come to the rescue of Krystal. They have not only purchased the company for $27 million but assumed their debts amounting to $21.5 million.