Apollo Global Management Cut to Market Perform as $3B Credit Fund Sale Looms
Raymond James cut its rating to Market Perform, with stock at $131.75, citing private credit concerns after a $61M loss at MidCap Financial. Apollo is combining Emerald Holding and Questex to expand its events portfolio and is negotiating the sale of a $3B credit fund.
1. Analyst Downgrade Details
Raymond James lowered Apollo’s rating to Market Perform on May 11 when shares traded at $131.75, pointing to escalating risks in the firm’s private credit business.
2. Events Sector Expansion
Apollo agreed to acquire live-events businesses Emerald Holding and Questex, planning to merge them to broaden its events division and diversify revenue streams.
3. Private Credit Fund Sale Talks
The firm is negotiating the sale of a $3 billion private credit fund, reflecting an effort to reduce exposure to potentially troubled loans.
4. BDC Loss and Market Metrics
Apollo’s publicly listed BDC subsidiary posted a $61 million loss, and the parent’s shares last traded at $131.66, down 1.16%, within a 52-week range of $99.56 to $157.28 and a market capitalization of $75.9 billion.