Apollo Debt Solutions BDC Breaks Escrow, Raises $657 Million
January 12, 2022 | Luke Schmidt | Blue Vault
On January 11, 2022, Apollo Debt Solutions BDC (“ADS”), a non-traded business development company, announced that they had satisfied the minimum offering requirement on January 7, 2022, and that the Company’s board of directors had authorized the release of the proceeds from escrow. As of January 7, 2022, ADS had issued and sold approximately 26.3 million shares (consisting entirely of Class I share) relating to its continuous public offering, resulting in net proceeds of approximately $657 million. Apollo and its employees owned approximately $3 million of interests in the Company as of the same date.
ADS is currently offering $5 billion in its public offering from three different share classes: Class D, Class I, and Class S, each with an initial price of $25.00 per share. No upfront sales commissions are charged by the Fund, but certain financial institutions may charge upfront sales commissions, not to exceed 1.5% of NAV for Class D shares and 3.5% for Class S shares. ADS was declared effective by the SEC on October 29, 2021.
As of January 11, 2022, ADS reported it had more than $1 billion in assets under management, including 43 portfolio investments.
ADS focuses on senior secured large corporate direct origination, broadly syndicated loans, and, to a lesser extent, middle market direct lending. The Fund is managed by an affiliate of Apollo (NYSE: APO), which has one of the world’s largest alternative credit businesses with approximately $341 billion in credit AUM.
ADS is the first non-traded business development company sponsored by affiliates of Apollo and adds to a growing suite of solutions from Apollo that qualifying investors can access through their financial advisors.
Sources: SEC, Apollo, Blue Vault
