Apollo Closes $4.8B Large Cap Direct Lending Fund
Apollo has closed Apollo Origination Partnership Fund II (AOP II) with approximately $4.8 billion of investable assets, including anticipated leverage. AOP II is designed to capitalize on growing demand for corporate and sponsor-backed large-cap lending.
Under the strategy, Apollo aims to invest in senior corporate debt of issuers located predominantly in the U.S. and Western Europe that generate over $100 million of annual EBITDA.
“AOP II seeks to provide investors with a differentiated approach to corporate and sponsor direct lending,” said Apollo Credit Partner Jim Vanek. “The convergence of public and private credit markets continues to create tremendous demand for scaled direct lending solutions led by a single counterparty who can offer price and execution certainty to borrowers.”
The latest close brings total assets raised for the Apollo Large Cap Direct Lending business to approximately $13.3 billion in just over a year. Apollo’s total direct lending and performing credit assets under management has doubled to $238 billion over the past four years. Apollo’s credit business now boasts over $500 billion in assets under management.
In the second quarter, Apollo raised $18.7 billion through credit strategies, including the announcement last month of a $25 billion program with Citigroup to expand access to private lending capital for corporate and sponsor clients, as well as a $500 million joint venture with Viola Credit, an asset-based lending-focused asset manager, and Cadma Capital Partners, an affiliate of Apollo Global Management, that specializes in financing solutions for high-growth technology companies and the investment firms that sponsor them.
