Apollo Debt Solutions BDC Upsizes Revolving Credit Facility to $3.99B
Apollo Debt Solutions BDC has amended and restated its senior secured, multicurrency revolving credit facility, increasing total commitments to $3.99 billion and extending its final maturity by one year.
The facility, for which JPMorgan Chase Bank serves as administrative agent, now matures Aug. 12, 2031. The total facility size increased from $3.828 billion, while the accordion feature, which allows the company to seek additional lender commitments, rose to $5.985 billion from $5.180 billion.
Apollo also eliminated the credit-spread adjustment on U.S. dollar-denominated borrowings. Such adjustments are commonly used when floating-rate loans transition between benchmark rates; removing it may lower the company’s funding costs or simplify pricing on dollar draws.
The amendment also changes the facility’s minimum shareholders’ equity test. Instead of limiting quarterly deductions to repurchases of shares issued during the same quarter, the revised covenant permits a 25% deduction for any of the company’s equity interests repurchased on or after July 1, 2026. The modification may provide greater flexibility in managing shareholder redemptions while preserving lender protections.
Apollo Debt Solutions is a perpetual life BDC designed for individual investors. It primarily invests in senior secured large-cap direct loans and broadly syndicated loans, with a smaller allocation to middle-market direct lending, according to Apollo
The enlarged revolver follows Apollo Debt Solutions BDC’s Aug. 6 closing of a $514.9 million term debt securitization, its third CLO transaction. That issuance included senior notes rated AAA and priced at a spread of 150 basis points over the Secured Overnight Financing Rate, or SOFR.1334
The expanded facility provides funding capacity for new investments, portfolio management and shareholder liquidity needs.
