Private Equity: Apollo Buys Stake in Albertsons Companies
Apollo Global Management (NYSE: APO) announced certain affiliate-led funds drove the purchase of $1.75 billion of convertible preferred stock in Albertsons Companies. The target is one of the largest food and drug retailers in the United States. The investment will represent approximately 17.5% pro forma equity ownership of Albertsons on an as-converted basis.
The transaction will likely close by June 15.
Albertsons Companies and Apollo
The transaction was led by Apollo’s Hybrid Value business in partnership with the Credit platform and drew upon Apollo’s depth of experience in the sector. It is the third sizable investment made by Hybrid Value in the past month.
Apollo also announced that they had closed on approximately $1.75 billion in commitments for its dislocated credit offering, Apollo Accord Fund III B. The Fund is the latest investment vehicle in its flagship Accord series, launched in 2017. Commitments for the fund were raised over approximately 8 weeks, driven by institutional demand for strategies that invest amid the volatility and market conditions seen in the first quarter of 2020.
Apollo’s Accord strategy focuses on acting as a liquidity provider during times of broad-based market stress by purchasing high-quality, secured cross-asset credit risk. Accord is one of several strategies the Firm has designed to address opportunity sets across dislocation, distressed, origination, and capital solutions.
Latest Alternative Investment News
TD Asset Management announced Tuesday the launch of three new ESG Equity ETFs to cater to investors looking for exposure to equity market indexes and companies with an ESG edge….
Speaking Tuesday on CNBC’s Squawk Box, Mike Novogratz, CEO of Galaxy Digital, said large investors appeared to be switching their gold holdings to bitcoin, judging from the outflows seen recently…
Voi Technology’s haul of $160 million is a mix of debt and equity in a Series C round led by The Raine Group, with participation by existing investors such as…
In an article in a newly released book from the central government explaining the country’s economic priorities and development plan for 2035, Guo warned of a disturbance in global financial…