Apollo invests $500 million in Aldar Properties' Subordinated Notes, boosting total investment to $1.9 billion since 2022.
Quiver AI Summary
Apollo has announced a $500 million investment in Subordinated Notes issued by Aldar Properties PJSC, which is one of the largest corporate hybrid private placements in the region. This latest investment increases Apollo's total investment in Aldar to approximately $1.9 billion across four transactions since 2022. Apollo Partner Jamshid Ehsani expressed satisfaction with the ongoing partnership, emphasizing the attractive investment opportunity that Aldar presents. This move follows a previous $1.4 billion capital investment in Aldar in August 2022 and aligns with Apollo's broader commitment to the Abu Dhabi and UAE markets. Apollo, a global alternative asset manager with around $733 billion in assets under management, focuses on providing innovative capital solutions and achieving financial returns for its clients.
Potential Positives
- Apollo's investment of USD $500 million in Aldar Properties represents one of the largest corporate hybrid private placements in the region, underscoring its significant financial commitment and reputation in the market.
- The total investment led by Apollo in Aldar has reached approximately USD $1.9 billion, demonstrating strong and ongoing confidence in Aldar's business and growth prospects.
- This transaction highlights Apollo's strategic focus on the Abu Dhabi ecosystem, reinforcing its presence and influence in key international markets.
- The press release emphasizes Apollo's successful track record in originating nearly $100 billion in bespoke capital solutions, showcasing its capabilities as a leading capital provider across various sectors.
Potential Negatives
- Significant reliance on a single investment partner, Aldar Properties, could indicate a lack of diversification in Apollo's investment strategy, potentially exposing the firm to higher risks if Aldar underperforms.
- The large investment in subordinated notes may suggest that Apollo is engaging in higher-risk lending practices, which could raise concerns among investors about the company's risk management approach.
- The announcement of a $500 million investment follows a larger prior investment, which may signal ongoing financial instability of Aldar if such substantial funding is required repeatedly to secure operations or growth.
FAQ
What was Apollo's recent investment in Aldar Properties?
Apollo-managed affiliates invested USD $500 million in Subordinated Notes issued by Aldar Properties PJSC, totaling approximately USD $1.9 billion since 2022.
How does this investment fit into Apollo's strategy?
This investment reinforces Apollo's position as a leading capital provider in the Abu Dhabi ecosystem, providing innovative capital solutions.
What notable partnerships does Apollo have in the UAE?
Apollo has a multi-billion-dollar partnership with Mubadala Investment Company focusing on global origination opportunities and investments in Aldar.
How much capital has Apollo originated since 2020?
Since 2020, Apollo has originated nearly $100 billion in bespoke capital solutions for various leading companies across different sectors.
What is the focus of Apollo's asset management business?
Apollo's asset management business aims to deliver excess returns across the risk-reward spectrum, from investment grade credit to private equity.
Disclaimer: This is an AI-generated summary of a press release distributed by GlobeNewswire. The model used to summarize this release may make mistakes. See the full release here.
$APO Insider Trading Activity
$APO insiders have traded $APO stock on the open market 58 times in the past 6 months. Of those trades, 2 have been purchases and 56 have been sales.
Here’s a breakdown of recent trading of $APO stock by insiders over the last 6 months:
- LEON D BLACK has made 0 purchases and 18 sales selling 1,000,000 shares for an estimated $173,477,023.
- JAMES C ZELTER (Co-President (See Remarks)) has made 0 purchases and 19 sales selling 600,000 shares for an estimated $97,964,885.
- SCOTT KLEINMAN (Co-President (See Remarks)) has made 0 purchases and 14 sales selling 500,000 shares for an estimated $86,835,230.
- MARTIN KELLY (Chief Financial Officer) has made 0 purchases and 2 sales selling 15,000 shares for an estimated $2,599,684.
- WHITNEY CHATTERJEE (Chief Legal Officer) has made 0 purchases and 2 sales selling 6,200 shares for an estimated $1,074,851.
- LOUIS-JACQUES TANGUY (Chief Acct. Off. & Controller) sold 2,500 shares for an estimated $441,250
- PAULINE RICHARDS purchased 2,351 shares for an estimated $246,657
- MITRA O'NEILL purchased 923 shares for an estimated $100,053
To track insider transactions, check out Quiver Quantitative's insider trading dashboard.
$APO Hedge Fund Activity
We have seen 465 institutional investors add shares of $APO stock to their portfolio, and 425 decrease their positions in their most recent quarter.
Here are some of the largest recent moves:
- FRANKLIN RESOURCES INC added 4,902,428 shares (+69.5%) to their portfolio in Q3 2024, for an estimated $612,362,281
- CAPITAL RESEARCH GLOBAL INVESTORS added 2,271,547 shares (+30.8%) to their portfolio in Q3 2024, for an estimated $283,738,935
- FMR LLC added 1,945,281 shares (+10.8%) to their portfolio in Q3 2024, for an estimated $242,985,049
- MARINER, LLC removed 1,872,542 shares (-50.2%) from their portfolio in Q3 2024, for an estimated $233,899,221
- VOYA INVESTMENT MANAGEMENT LLC removed 1,765,768 shares (-92.7%) from their portfolio in Q3 2024, for an estimated $220,562,080
- BRAVE WARRIOR ADVISORS, LLC removed 1,502,235 shares (-39.7%) from their portfolio in Q3 2024, for an estimated $187,644,173
- PRICE T ROWE ASSOCIATES INC /MD/ removed 1,500,305 shares (-24.1%) from their portfolio in Q3 2024, for an estimated $187,403,097
To track hedge funds' stock portfolios, check out Quiver Quantitative's institutional holdings dashboard.
Full Release
NEW YORK, Jan. 31, 2025 (GLOBE NEWSWIRE) -- Apollo (NYSE: APO) today announced an agreement for Apollo-managed affiliates, funds and clients to invest USD $500 million in Subordinated Notes issued by Aldar Properties PJSC (“Aldar”). The transaction represents one of the region’s largest-ever corporate hybrid private placements and brings aggregate investment in Aldar led by Apollo to approximately USD $1.9 billion across four transactions since 2022.
Apollo Partner Jamshid Ehsani said, “We are pleased to broaden our partnership and provide another scaled capital solution to Aldar by investing in a leading real estate franchise that we believe offers an attractive investment opportunity for our clients. Apollo’s fourth investment in Aldar underscores our strong partnership with the company as well as our commitment to serving as a leading capital provider to the broader Abu Dhabi ecosystem.”
The hybrid private placement marks Apollo’s latest commitment to Abu Dhabi and the UAE and follows an August 2022 transaction in which Apollo-managed funds and clients invested a total of USD $1.4 billion in strategic capital in Aldar, including a USD $400 million equity investment in Aldar Investment Properties. In November 2024, Apollo also announced a multi-year extension of the firm’s multi-billion-dollar partnership with Mubadala Investment Company focused on global origination opportunities.
Since 2020, under its High-Grade Capital Solutions strategy, Apollo has originated nearly $100 billion of bespoke capital solutions for leading companies such as Intel, Sony, Air France, AB InBev and more.
About Apollo
Apollo is a high-growth, global alternative asset manager. In our asset management business, we seek to provide our clients excess return at every point along the risk-reward spectrum from investment grade credit to private equity. For more than three decades, our investing expertise across our fully integrated platform has served the financial return needs of our clients and provided businesses with innovative capital solutions for growth. Through Athene, our retirement services business, we specialize in helping clients achieve financial security by providing a suite of retirement savings products and acting as a solutions provider to institutions. Our patient, creative, and knowledgeable approach to investing aligns our clients, businesses we invest in, our employees, and the communities we impact, to expand opportunity and achieve positive outcomes. As of September 30, 2024, Apollo had approximately $733 billion of assets under management. To learn more, please visit www.apollo.com .
Contacts
Noah Gunn
Global Head of Investor Relations
Apollo Global Management, Inc.
(212) 822-0540
Joanna Rose
Global Head of Corporate Communications
Apollo Global Management, Inc.
(212) 822-0491