Apollo Global Management clients acquire up to 50% stake in MaxCap group
Strategic investment positions MaxCap for continued strong growth
Extends Apollo’s Reach to Australasian Markets
NEW YORK and MELBOURNE, Australia, September 7, 2021 (GLOBE NEWSWIRE) – Apollo Global Management, Inc. (NYSE: APO), (together with its consolidated subsidiaries, “Apollo”) today announced that clients managed by its subsidiaries have entered into a definitive agreement to acquire up to 50% of the capital of MaxCap Group (“MaxCap” or the “Company”), a leading financier and fund manager of Australasian commercial real estate (“CRE”) .
Founded in 2007, MaxCap is ranked n ° 1 in CRE debt* in the Australian market and is headquartered in Melbourne. After the transaction closes, MaxCap co-founders Wayne Lasky and Brae Sokolski will continue to run the company and retain the remaining stakes.
The strategic investment will align MaxCap with one of the world’s leading asset managers and allow the company to continue its rapid growth in Australia and New Zealand. The transaction is expected to strengthen MaxCap’s access to capital and strengthen its ability to create and deliver innovative lending solutions for borrowers alongside Apollo’s leading lending platform. MaxCap hopes to generate significant investment opportunities for its clients and today has a futures pipeline of over A $ 6 billion. Since its founding, the company has a strong track record of performing in more than 450 investments totaling over AU $ 11 billion.
For Apollo and its clients, the investment extends the company’s reach in Australasia – an attractive market with significant growth in lending opportunities. Currently, Apollo is the originator of commercial real estate debt and equity solutions across North America, Europe and Asia, and through this transaction, it plans to increase its activity in Australasia.
Wayne Lasky, Co-Founder and Managing Director of MaxCap, said, “We are committed to providing our clients with the highest quality and the broadest range of investment opportunities. This transaction is a key aspect of delivering on our promise to create lasting value for them. We look forward to achieving this by leveraging Apollo’s vast industrial expertise, coupled with the momentous firepower they bring to the table. This will further enable us to deliver compelling solutions for each sector of commercial real estate at every stage of the real estate lifecycle, and we are delighted to partner with such a respected global manager.
Mr. Lasky highlighted how MaxCap has created a market leading platform and built a high quality Australasian team. “This partnership is a watershed moment and a key part of our team’s long-term strategic plan. We now look forward to the next phase of MaxCap’s growth and delivering more customer value with a partner who shares our vision and strategy, ”he said.
Apollo Co-Chairman Scott Kleinman said: “Australia presents significant long-term opportunities for Apollo and we are delighted to strategically partner with MaxCap, a leader in non-bank mortgage lending with an excellent reputation. This is an exciting opportunity to expand our origination capabilities, support the strong leadership team, and leverage our highly complementary platforms and expertise. “
Philip Mintz, Senior Partner, Real Estate at Apollo, said: “MaxCap is an industry leader and we are delighted to provide capital and strategic support to help accelerate their business and grow our business in Australia. The company’s strong origination track record, market positioning in Australia and New Zealand, and performance have made it a partner of choice for investors and borrowers. Together, we see significant opportunities ahead as the non-bank mortgage market continues to grow in the region. “
Mr. Mintz noted that the Apollo funds’ investment in MaxCap was the latest expansion to its investment origination platforms. It follows a recently announced transaction with Foundation Home Loans, a specialist mortgage lender in the United Kingdom, as well as a strategic agreement with Victory Park Capital in the United States to invest in asset-backed credit facilities for emerging companies. Apollo’s strategy of creating, purchasing and partnering with proprietary origination platforms enhances the company’s ability to seek and structure investments for its insurance and institutional clients.
*Global ranking of real estate debt PERE 2021
About the MaxCap Group
MaxCap is recognized as one of Australia’s leading Commercial Real Estate (CRE) investment managers with an unmatched track record of performance on 450 investments over AU $ 11.0 billion, offering full capital and interests since its inception.
With funds currently under management and advice in excess of AU $ 4 billion (as of June 30, 2021), we operate a quality institutional platform recognized as best in class and are the preferred investment manager of many of the largest institutional LPs in Australia and the world. , family offices and high net worth investors. We provide our loyal investors with access to the best CRE investment opportunities in debt and equity and pride ourselves on our reputation as a market leader in long-term value creation. For more information, please visit www.maxcapgroup.com.au.
Apollo is a high growth global alternative asset manager. We seek to provide our clients with excess return at every step of the risk-return spectrum, from investment grade to private equity, by focusing on three business strategies: yield, hybrid and opportunistic. Through our investing activity on our fully integrated platform, we meet the retirement income and financial performance needs of our clients, and we deliver innovative capital solutions to businesses. Our patient, creative and knowledgeable approach to investing aligns our clients, the companies we invest in, our employees, and the communities we impact on, to expand opportunities and drive positive results. As of June 30, 2021, Apollo had approximately $ 472 billion in assets under management. For more information, please visit www.apollo.com.
Apollo Safe Harbor for forward-looking statements
This press release may contain forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. These statements include, without limitation, discussions related to Apollo’s expectations regarding its business performance, liquidity and capital resources and other non-historical statements in the discussion and analysis. These forward-looking statements are based on the beliefs of management, as well as on the assumptions made by management and on the information currently available to it. When used in this press release, the words “believe”, “anticipate”, “estimate”, “expect”, “intend” and similar expressions are intended to identify forward-looking statements. Although management believes that the expectations reflected in these forward-looking statements are reasonable, it cannot guarantee that these expectations will prove to be correct. These statements are subject to certain risks, uncertainties and assumptions, including those described in the section entitled “Risk Factors” in Apollo’s Annual Report on Form 10-K filed with the SEC on February 19, 2021, and the quarterly report on Form 10-Q. filed with the SEC on May 10, 2021, as these factors may be updated from time to time in Apollo’s periodic files with the SEC, which are available on the SEC’s website at www. sec.gov. These factors should not be construed as exhaustive and should be read in conjunction with the other caveats included in this press release and other documents. Apollo makes no commitment to publicly update or revise forward-looking statements, whether as a result of new information, future developments or otherwise, except as required by applicable law. This press release does not constitute an offer from any Apollo Fund.
Global Head of Investor Relations
Global management of Apollo, Inc.
For the media:
Global Head of Corporate Communications
Global management of Apollo, Inc.
+61 414 462 515
+61 0407 329 430