Fortress Investment Group to Acquire Sogo & Seibu, Partner with Yodobashi HD for Revitalization
Tokyo-based investment firm Fortress Investment Group LLC has announced plans to acquire 100% of the issued shares of Sogo & Seibu Co., Ltd., a subsidiary of Seven & i Holdings Co., Ltd., on September 1, 2023. This acquisition aims to preserve and strengthen the Sogo & Seibu business, with Fortress partnering with leading Japanese consumer camera and electronics retailer Yodobashi Holdings Co., Ltd. to introduce new stores in select Sogo & Seibu flagship locations.
The decision to choose Fortress was based on their extensive real estate expertise, deep turnaround experience, and the financial resources needed for structural business reform. The partnership between Fortress and Seven & i has been strong, and Seven & i will continue to support the transition and address the concerns of Sogo & Seibu’s employees.
With the addition of Yodobashi HD as a partner, Fortress plans to invest over ¥20 billion (USD 138 million) in capital expenditures and renovations, focusing on Seibu Ikebukuro, which is located near Ikebukuro Station, one of the world’s busiest transportation hubs. The renovation of the Ikebukuro store and other stores in the future will cater to the culture and consumer needs of each region, aiming to recreate the physical retail experience that appeals to today’s technology-driven consumers.
Fortress is committed to achieving business continuity for Sogo & Seibu and will work closely with Seven & i to support the management and maintain the workforce as much as possible.
About Fortress Investment Group:
Founded in 1998, Fortress Investment Group is a highly diversified global investment manager with over $44 billion of assets under management as of March 31, 2023. With a focus on credit and real estate, private equity, and permanent capital investment strategies, Fortress manages assets on behalf of institutional clients and private investors worldwide.
