Apollo Funds will acquire Trace3 from American Securities, which retains a minority stake. Financial terms undisclosed.
Quiver AI Summary
Apollo has announced the acquisition of Trace3, a prominent provider of technology solutions, from American Securities, although financial details of the deal were not disclosed. American Securities will retain a minority stake in Trace3, which specializes in digital transformation services for various clients, including Fortune 500 companies. Founded in 2002, Trace3 excels in areas such as artificial intelligence, cloud services, and data analytics, and is strategically positioned to capitalize on increasing demand for IT infrastructure and services. Apollo’s partnership is expected to support Trace3's growth by enhancing AI-related offerings and pursuing strategic mergers and acquisitions. Both Apollo and American Securities express confidence in Trace3’s management and its potential for future growth. The transaction is pending regulatory approvals and standard closing conditions.
Potential Positives
- Apollo Funds are acquiring Trace3, a recognized leader in enterprise IT, indicating confidence in Trace3's future growth potential and market position.
- The acquisition positions Trace3 to leverage Apollo's expertise and resources to enhance its service offerings, particularly in high-demand areas like AI and digital transformation.
- The transaction reflects a strategic partnership that aims to preserve Trace3's company culture while supporting its growth trajectory through innovation and potential M&A opportunities.
Potential Negatives
- Financial terms of the acquisition were not disclosed, which may raise concerns about the valuation and financial implications for Apollo and its stakeholders.
- American Securities retaining a significant minority equity interest could indicate potential conflicts of interest or a lack of full confidence in the acquisition from the seller's perspective.
- The transaction is subject to customary closing conditions and regulatory approvals, introducing uncertainty regarding the deal's completion and potential delays.
FAQ
What is the recent acquisition announced by Apollo?
Apollo has acquired Trace3, a leading provider of enterprise technology solutions, from American Securities.
What role does American Securities have in Trace3 after the acquisition?
American Securities will retain a significant minority equity interest in Trace3 following the acquisition.
How is Trace3 positioned in the technology market?
Trace3 is a recognized leader in digital transformation and IT solutions, serving many Fortune 500 clients.
What does Apollo see in the future for Trace3?
Apollo aims to support Trace3's growth by enhancing AI-related services and pursuing strategic acquisitions.
Who provided financial advice during the acquisition process?
Citi served as the lead financial advisor, with Wells Fargo and RBC also advising on the acquisition.
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 8 times in the past 6 months. Of those trades, 2 have been purchases and 6 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 3 sales selling 1,107,725 shares for an estimated $138,698,529.
- 2018 GST TRUST LB purchased 607,725 shares for an estimated $67,697,526
- MARTIN KELLY (Chief Financial Officer) has made 0 purchases and 2 sales selling 9,000 shares for an estimated $1,321,650.
- WHITNEY CHATTERJEE (Chief Legal Officer) sold 4,500 shares for an estimated $657,148
- PAULINE RICHARDS purchased 550 shares for an estimated $78,071
To track insider transactions, check out Quiver Quantitative's insider trading dashboard.
$APO Hedge Fund Activity
We have seen 598 institutional investors add shares of $APO stock to their portfolio, and 521 decrease their positions in their most recent quarter.
Here are some of the largest recent moves:
- TIGER GLOBAL MANAGEMENT LLC removed 6,062,828 shares (-49.4%) from their portfolio in Q1 2025, for an estimated $830,243,666
- CAPITAL WORLD INVESTORS removed 3,419,521 shares (-10.8%) from their portfolio in Q1 2025, for an estimated $468,269,205
- PRICE T ROWE ASSOCIATES INC /MD/ removed 3,252,243 shares (-50.4%) from their portfolio in Q1 2025, for an estimated $445,362,156
- MARINER, LLC added 1,760,213 shares (+487.1%) to their portfolio in Q1 2025, for an estimated $241,043,568
- BLACKROCK, INC. added 1,721,617 shares (+5.0%) to their portfolio in Q1 2025, for an estimated $235,758,231
- FMR LLC removed 1,504,108 shares (-7.7%) from their portfolio in Q1 2025, for an estimated $205,972,549
- 1832 ASSET MANAGEMENT L.P. removed 1,461,465 shares (-90.6%) from their portfolio in Q1 2025, for an estimated $200,133,017
To track hedge funds' stock portfolios, check out Quiver Quantitative's institutional holdings dashboard.
$APO Analyst Ratings
Wall Street analysts have issued reports on $APO in the last several months. We have seen 6 firms issue buy ratings on the stock, and 0 firms issue sell ratings.
Here are some recent analyst ratings:
- Wells Fargo issued a "Overweight" rating on 07/11/2025
- Citigroup issued a "Buy" rating on 07/10/2025
- Piper Sandler issued a "Overweight" rating on 05/05/2025
- Barclays issued a "Overweight" rating on 05/05/2025
- TD Cowen issued a "Buy" rating on 04/09/2025
- B of A Securities issued a "Buy" rating on 04/04/2025
To track analyst ratings and price targets for $APO, check out Quiver Quantitative's $APO forecast page.
$APO Price Targets
Multiple analysts have issued price targets for $APO recently. We have seen 10 analysts offer price targets for $APO in the last 6 months, with a median target of $164.0.
Here are some recent targets:
- Glenn Schorr from Evercore ISI Group set a target price of $160.0 on 08/06/2025
- Michael Brown from Wells Fargo set a target price of $173.0 on 07/11/2025
- Benjamin Budish from Barclays set a target price of $168.0 on 07/10/2025
- Christopher Allen from Citigroup set a target price of $170.0 on 07/10/2025
- John Barnidge from Piper Sandler set a target price of $174.0 on 05/05/2025
- Benjamin Rubin from UBS set a target price of $155.0 on 05/01/2025
- Michael Cyprys from Morgan Stanley set a target price of $131.0 on 04/14/2025
Full Release
IRVINE, Calif. and NEW YORK, Aug. 11, 2025 (GLOBE NEWSWIRE) -- Apollo (NYSE: APO) today announced that funds managed by its affiliates (the “Apollo Funds”) have agreed to acquire Trace3, a leading provider of enterprise and commercial technology solutions, from American Securities. Financial terms were not disclosed. American Securities will retain a significant minority equity interest in the company.
Trace3 is a leading digital transformation and IT solutions provider to commercial and enterprise clients, including many of the Fortune 500. Since its founding in 2002, Trace3 has established a national, market-leading position in the technology solutions provider space with significant expertise in artificial intelligence, cloud, security, data and analytics, managed services, data center infrastructure and emerging technology. The company is well positioned to benefit from strong demand for next-generation IT infrastructure and services as digital transformation and AI adoption continue to accelerate.
“The partnership with Apollo is a powerful testament to the quality of our brand, our people and our consistent track record of growth,” said Rich Fennessy, Chief Executive Officer of Trace3. “They embrace our unwavering commitment to innovation, technical excellence and deep client relationships. Together, we’re poised to accelerate the Company’s trajectory while preserving the special culture that continues to attract the best talent in technology.”
“Trace3 is a recognized leader in enterprise IT, with a strong culture of innovation and a track record of delivering critical and cutting-edge products and services to its broad client base,” said Robert Kalsow-Ramos, Partner at Apollo. “We see a meaningful opportunity to support Trace3’s efforts to meet AI-related demand across their client base and expand high-value service offerings while pursuing strategic M&A to help accelerate the company’s growth trajectory. We’re excited to partner with the Trace3 team in this next chapter of growth.”
“Trace3’s management team has done an exceptional job scaling the business, expanding its capabilities and establishing the company as a trusted partner in delivering cutting-edge technology solutions. We’re proud to have supported their growth, which reflects American Securities’ strategy of partnering with strong teams in sectors where we can add lasting value. We look forward to continuing our partnership alongside Apollo and the Trace3 team as the company enters its next phase,” said Kevin Penn, Managing Director of American Securities.
Apollo has deep experience successfully investing in the IT services and distribution space, including prior investments by Apollo-managed funds in Presidio and TD SYNNEX.
The transaction is subject to customary closing conditions and regulatory approvals.
Citi served as lead financial advisor, Wells Fargo and Royal Bank of Canada also served as financial advisors, and Paul, Weiss, Rifkind, Wharton & Garrison LLP served as legal counsel to the Apollo Funds. Guggenheim Securities, LLC served as financial advisor and Kirkland & Ellis LLP served as legal counsel to Trace3 and American Securities.
About Trace3
Trace3 is a premier provider of technology consultation services and advanced IT solutions. Founded in 2002, Trace3 empowers organizations to embrace digital transformation through elite expertise and insightful innovation. With deep roots in the data center, Trace3 offers a broad mix of end-to-end technology services and solutions. These range from artificial intelligence and data insights to cloud computing and security consulting. Trace3 also maintains a Venture Capital (VC) CXO briefing program with a sharp focus on emerging technologies and provides clients with extensive research focused on the latest IT trends. For more information, visit
www.trace3.com
.
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 June 30, 2025, Apollo had approximately $840 billion of assets under management. To learn more, please visit www.apollo.com.
About American Securities
Based in New York with an office in Shanghai, American Securities is a leading U.S. private equity firm that invests in market-leading North American companies with annual revenues generally ranging from $200 million to $2 billion. American Securities and its affiliates have approximately $23 billion in assets under management. For more information, visit
www.american-securities.com
.
Contacts
Apollo
Noah Gunn
Global Head of Investor Relations
Apollo Global Management, Inc.
(212) 822-0540
[email protected]
Joanna Rose
Global Head of Corporate Communications
Apollo Global Management, Inc.
(212) 822-0491
[email protected]
Trace3
Jill Simpson
Manager, Public Relations
(269) 930-0912
[email protected]
American Securities
Joshua Rosen / Nick Kyriacou
Prosek Partners
[email protected]
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