Citi and Apollo Announce $25 Billion Private Credit, Direct Lending Program
26 September 2024 - 3:00PM
Business Wire
Mubadala and Athene to Participate as Apollo
Strategic Partner and Affiliate, Respectively
Citi & Apollo Private Credit, Direct
Lending Program Marks Largest Relationship of its Kind
Citigroup Inc. (NYSE: C) and Apollo (NYSE: APO) today announced
that they have entered into an exclusive agreement for a subsidiary
of Citi and certain affiliates of Apollo to form a landmark $25
billion private credit, direct lending program initially in North
America, with the potential to expand to additional geographies.
The program will include participation from Mubadala Investment
Company as Apollo’s strategic partner as well as Apollo’s
subsidiary, Athene, both of which will have the opportunity to join
commitments appropriate for their respective mandates.
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The strategic program is designed to significantly enhance
access for corporate and sponsor clients to the private lending
capital pool, at a scale and size which can provide funding
certainty in strategic transactions. The program will join Citi’s
expansive banking client reach, origination and capital markets
expertise with Apollo’s scaled, extensive capital base. The firms
anticipate the program will finance approximately $25 billion of
debt opportunities over the next several years, encompassing both
corporate and financial sponsor transactions. Citi and Apollo
expect strong client demand and maintain the flexibility to
significantly expand the size of the program beyond the initial $25
billion.
“This exciting project brings Citi together with Apollo and
other best-in-class partners to offer a full suite of innovative,
private financing solutions to our clients,” said Viswas Raghavan,
Head of Banking and Executive Vice Chair at Citi. “Combining the
strength of Citi’s Banking and Capital Markets franchise with
Apollo’s deep capital resources will provide clients with a range
of options to meet their evolving financing needs and achieve their
strategic goals.”
Apollo Co-President Jim Zelter said, “We are pleased to form a
first-of-its-kind, scaled direct lending program with Citi, a
preeminent banking partner and leader in capital markets and
advisory. Our collaboration will allow Citi to enhance its client
offerings and bring more private solutions to bear, while enabling
Apollo to increase origination flow and tap into Citi’s extensive
client relationships. As financial markets continue to evolve,
together we believe this is a win-win arrangement that uses our
respective strengths and assets to better serve our clients and
other stakeholders in a reliable, scalable and capital efficient
manner.”
Cravath, Swaine & Moore LLP is serving as legal counsel and
Citigroup Global Markets Inc. is acting as advisor to Citi; Paul,
Weiss, Rifkind, Wharton & Garrison LLP is serving as legal
counsel and Sullivan & Cromwell LLP is serving as regulatory
counsel to Apollo.
About Citi
Citi is a preeminent banking partner for institutions with
cross-border needs, a global leader in wealth management and a
valued personal bank in its home market of the United States. Citi
does business in more than 180 countries and jurisdictions,
providing corporations, governments, investors, institutions and
individuals with a broad range of financial products and
services.
Additional information may be found at www.citigroup.com | X:
@Citi | LinkedIn: www.linkedin.com/company/citi | YouTube:
www.youtube.com/citi | Facebook: www.facebook.com/citi
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 to private equity with a focus on three investing
strategies: yield, hybrid, and 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, 2024, Apollo had
approximately $696 billion of assets under management. To learn
more, please visit www.apollo.com.
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version on businesswire.com: https://www.businesswire.com/news/home/20240926673479/en/
Lauren Sambrotto Communications Citi (917) 656-8511
Lauren.sambrotto@citi.com
Joanna Rose Global Head of Communications Apollo Global
Management, Inc. (212) 822-0491 Communications@apollo.com
Noah Gunn Global Head of Investor Relations Apollo Global
Management, Inc. (212) 822-0540 IR@apollo.com
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