Profile: Apollo Global Management LLC (APO)
27 May 2016
Apollo Global Management, LLC (Apollo), incorporated on July 3, 2007, is an alternative investment manager in private equity, credit and real estate. The Company raises, invests and manages funds on behalf of pension, endowment and sovereign wealth funds, as well as other institutional and individual investors. The Company operates through three segments: Private equity, Credit and Real estate. The Private equity segment invests in control equity and related debt instruments, convertible securities and distressed debt instruments. The Credit segment invests in non-control corporate and structured debt instruments, including performing, stressed and distressed instruments across the capital structure. The Real estate segment invests in real estate equity for the acquisition and recapitalization of real estate assets, portfolios, platforms and operating companies, and real estate debt, including first mortgage and mezzanine loans, preferred equity and commercial mortgage backed securities. The Company has total asset under management (AUM) of approximately $170 billion, including approximately $40 billion in private equity, over $120 billion in credit and approximately $10 billion in real estate.
The Company's Private equity segment businesses include distressed buyouts, debt and other investments; corporate carve-outs; opportunistic buyouts, and natural resources. The Private equity segment has total and fee-generating AUM of approximately $37.5 billion and approximately $29.3 billion, respectively. The distressed securities its funds purchase include bank debt, public high-yield debt and privately held instruments. Its funds also provide debtor-in-possession financing to companies in bankruptcy. The Company also manages AP Alternative Assets, L.P. (AAA), a capital vehicle.
The Company's Credit segment businesses include liquid/performing, drawdown, permanent capital vehicles ex Athene-non-sub-advised and Athene non-sub-advised. The Credit segment has total and fee-generating AUM of approximately $121.4 billion and approximately $101.5 billion, respectively, across a diverse range of credit-oriented investments. Its liquid/performing category within the Credit segment includes funds and accounts where the underlying assets are liquid in nature and/or have some form of periodic redemption right. Liquid/performing includes a range of hedge funds, collateralized loan obligations (CLOs) and strategic investment accounts (SIAs) that utilize a range of investment strategies, including performing credit, structured credit and liquid opportunistic credit. Performing credit strategies focus on income-oriented, senior loan and bond investment strategies that target issuers domiciled in the United States and in Europe. Structured credit strategies target multiple tranches of structured securities with lending terms, predictable payment schedules, diversified portfolios and default rates.
Liquid opportunistic strategies focus on credit investments that are liquid in nature and that utilize a similar value-oriented investment philosophy as its private equity business. This includes investments by its credit funds in a range of primary and secondary opportunities encompassing stressed and distressed public and private securities within corporate credit, including senior loans (secured and unsecured), high yield, mezzanine, derivative securities, debtor in possession financings, rescue or bridge financings and other debt investments. In aggregate, its AUM and fee-generating AUM within the liquid/performing category totaled approximately $37.2 billion and approximately $30.6 billion, respectively. Hedge Funds include Apollo Credit Strategies Master Fund Ltd., Apollo Credit Master Fund Ltd., Apollo Credit Short Opportunities Fund and Apollo Value Strategic Fund, L.P. CLOs include over 20 internally managed CLOs focused within the United States and Europe. SIAs/Other includes a diverse group of separately managed accounts and certain commitment-based funds where the underlying assets are liquid and employ a mix of performing credit, structured credit and liquid opportunistic credit investment strategies.
Its drawdown category within the Credit segment includes commitment-based funds and certain SIAs in which investors make a commitment to provide capital at the formation of such funds and deliver capital when called as investment opportunities become available. Drawdown comprises its fund series, including Credit Opportunity Funds, European Principal Finance Funds and Structured Credit Funds, including Financial Credit Investment Funds and Structured Credit Recovery Funds, as well as other commitment-based funds not included within a series of funds and certain SIAs. Drawdown funds and SIAs utilize a range of investment strategies, including illiquid opportunistic, principal finance and structured credit strategies. In aggregate, its AUM and fee-generating AUM within the drawdown category totaled approximately $19.1 billion and approximately $11.1 billion, respectively.
The Credit Opportunity Fund series employs its illiquid opportunistic investment strategy, which focuses on credit investments that are less liquid in nature and that utilize a similar value-oriented investment philosophy as its private equity business. This includes investments in a range of primary and secondary opportunities encompassing stressed and distressed public and private securities within corporate credit, including senior loans (secured and unsecured), high yield, mezzanine, debtor in possession financings, rescue or bridge financings and other debt investments. The European Principal Finance Fund series employs its principal finance investment strategy, which is utilized to invest in European commercial and residential real estate, performing loans, non-performing loans and unsecured consumer loans, as well as acquiring assets as a result of distressed market situations. Certain of the EPF investment vehicles it manages own captive pan-European financial institutions, loan servicing and property management platforms. These entities perform banking and lending activities and manage and service consumer credit receivables and loans secured by commercial and residential properties. Its Structured Credit Funds include the Financial Credit Investment Fund series (FCI) and the Structured Credit Recovery Fund series (SCRF).
Its permanent capital vehicles category within the Credit segment includes pools of assets, which are not subject to redemption and are associated with long term asset management or advisory contracts. This category comprises Athene Asset Management and an affiliate of Apollo, which provides advisory services to Athene Asset Management and Athene Deutschland and its subsidiaries (Athene Germany); assets that are owned by or related to MidCap FinCo Limited (Midcap) and managed by Apollo Capital Management, L.P.; assets of certain publicly traded vehicles managed by Apollo, such as Apollo Investment Corporation (AINV), Apollo Residential Mortgage, Inc. (AMTG), Apollo Tactical Income Fund Inc. (AIF) and Apollo Senior Floating Rate Fund Inc. (AFT), and a non-traded business development company sub-advised by Apollo. The permanent capital vehicles within credit utilize a range of investment strategies, including performing credit and structured credit, as well as directly originated credit. Direct origination relates to the sourcing of senior credit assets, both secured and unsecured, including asset-backed loans, leveraged loans, mezzanine debt, real estate loans, re-discount loans and venture loans. Directly originated credit is employed by Midcap, AINV and a non-traded business development company sub-advised by Apollo. In aggregate, its AUM and fee-generating AUM within its credit permanent capital vehicles totaled approximately $65 billion and $60 billion, respectively.
The Company's Real estate segment businesses include opportunistic equity investing in real estate assets, portfolios, companies and platforms, and commercial real estate debt investments, including first mortgage and mezzanine loans, and commercial mortgage backed securities. The real estate business has total and fee generating AUM of approximately $11.3 billion and approximately $7.3 billion, respectively, through a combination of investment funds, SIAs and Apollo Commercial Real Estate Finance, Inc. (ARI), a commercial mortgage real estate investment trust managed by Apollo. Its real estate equity funds under management include AGRE United States Real Estate Fund, L.P. and Apollo United States Real Estate Fund II, L.P., its United States focused, opportunistic funds, and its Citi Property Investors (CPI) business. It manages the Trophy Property Development Fund, a China-focused investment fund. With respect to its real estate debt activities, its real estate funds and accounts offer financing across a spectrum of property types and at various points within a property's capital structure, including first mortgage and mezzanine financing, and preferred equity. In addition to ARI, it also manages strategic accounts focused on investing in commercial mortgage-backed securities and other commercial real estate loans.
Apollo Global Management LLC
9 W 57th St Fl 43
NEW YORK NY 10019-2700
Company Web Links
- BRIEF-Apollo Global Management unit's previously annnounced offering of notes priced at 99.912 pct
- Asset manager Apollo Global posts unexpected first-quarter loss
- BRIEF-Apollo Global Management Q1 loss per share $0.19
- BRIEF-Funds affiliated with Apollo Global to acquire Amquip Crane Rental and Maxim Crane Works
- Apollo to acquire and merge Maxim Crane and AmQuip Crane: sources