Apollo holds $18.4b final close on global Fund VIII

The fund secured a total of $17.5 billion from outside investors, with Apollo and affiliated investors - including senior professionals - committing around $880 million of additional capital.

The vehicle was first launched in November 2012 with a target of $13 billion. Apollo later revised the hard cap at $15 billion and then more recently at $17.5 billion in response to strong investor demand.

The fund reached a first close of around $6.8 billion in July. At the same time it was announced Apollo had agreed to return all transaction fees from the fund's deals to investors, having proposed an 80% share when it started marketing last year.

"Fund VIII benefited from the support of a diversified group of investors, including many public pensions, sovereign wealth funds, corporate pensions, endowments and foundations, funds of funds and high net worth investors," Leon Black, chairman and CEO of Apollo said in a statement.

This latest fund betters Blackstone Capital Partners VI - which closed at $16.1 billion in January 2012 after about four years on the road - as the largest post-global financial crisis fundraise.

Apollo's previous global fund, the $14.7 billion Fund VII, reached a final close in 2008 and was one of best-performing private equity funds raised that year, generating a gross and net annual internal return rates of 38% and 29%, respectively, according to Apollo.

Apollo typically focuses on distressed investments, corporate carve-outs and opportunistic buyouts and had approximately $43 billion of assets under management and 92 investments worldwide, as of September 30.

Other recent global fundraises include Warburg Pincus ($11.2 billion), Silver Lake ($10.3 billion), Apax Partners (EUR5.8 billion, $7.5 billion), CVC Capital Partners (EUR10.5 billion) and the Carlyle Group ($13 billion). While Silver Lake, CVC and Carlyle exceeded their initial targets, Warburg Pincus and Apax fell short.

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• Topics
• Fundraising
• Buyout
• North America
• USA
• Apollo Global Management
• Fundraising
• buyout