Fortress Investment Group’s 13F Portfolio Posts Weak Returns Amid Closing of Macro Hedge Fund and Novogratz’s Departure

Fortress Investment Group continued to own almost 33.0 million shares of insurance holding company HRG Group Inc (NYSE:HRG), worth around $429 million at the end of the second quarter. During the third quarter, the stock of HRG Group Inc (NYSE:HRG) lost 9.76% and is currently trading down by 11.37% year-to-date. On October 9, the company announced that its subsidiary Compass Production Partners signed a definitive agreement with Indigo Minerals to sell its Holly, Waskom, and Danville assets to the latter for $160 million in cash, subject to adjustments at the closing. HRG Group Inc (NYSE:HRG) expects this transaction to be closed during the current fiscal quarter. Experts who track the stock saw this as a favorable move for the company and expect that catalysts like these could push the stock up by 50%-to-100% over the next two years. Several large shareholders increased their stakes in HRG Group during the second quarter, including Jason Karp‘s Tourbillon Capital Partners, which owned 10.0 million shares of the company on June 30.

Finally, Fortress Investment Group continued to hold 10.5 million shares of Gaming and Leisure Properties Inc (NASDAQ:GLPI) at the end of the second quarter. As of June 30, this stake was worth almost $385 million. Gaming and Leisure Properties Inc (NASDAQ:GLPI)’s stock has had an almost U-shaped move to this point in 2015. After a gradual rise during the first quarter and a consolidation during the second quarter, shares of the company gradually declined during the third quarter, losing 17.5% and now trade marginally up, by 2.88% year-to-date. On July 21, the company announced that it would be acquiring all of the real estate assets of Pinnacle Entertainment in a deal valued at $4.75 billion. However, this deal encountered some roadblocks after a labor union representing culinary workers started lobbying against it to the FTC, arguing that this deal would create a monopoly in three local markets. Analysts expect Gaming and Leisure Properties Inc (NASDAQ:GLPI) to report third quarter EPS of $0.41 on October 29, slightly below the $0.42 EPS that it reported for the same quarter last year. George Soros‘ family office Soros Fund Management bought added 3% more shares to his GLPI position during the second quarter to take its total holding to over 1.23 million shares.

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