Apollo’s ATLAS SP and BNP Paribas Announce $5 Billion Strategic Collaboration
Apollo (NYSE: APO), ATLAS SP Partners, and BNP Paribas have announced a $5 billion strategic financing and capital markets collaboration. BNP Paribas will provide an initial $5 billion financing commitment, expected to increase over time, to support investment-grade, asset-backed credit originated by Apollo and ATLAS. The collaboration also includes support for securitizations sourced by Apollo and ATLAS issuer clients.
This partnership is described as one of the largest-ever bilateral financings for directly-originated credit assets. It builds on Apollo's existing collaboration with BNP Paribas through the Eliant platform for inventory finance solutions. The strategic relationship aims to accelerate ATLAS's growth and enhance its client capabilities in warehousing and investment-grade asset-backed solutions.
Apollo (NYSE: APO), ATLAS SP Partners e BNP Paribas hanno annunciato una collaborazione strategica di finanziamento e mercati dei capitali da 5 miliardi di dollari. BNP Paribas fornirà un impegno iniziale di finanziamento di 5 miliardi di dollari, che si prevede aumenterà nel tempo, per supportare crediti di qualità investimenti garantiti da asset originati da Apollo e ATLAS. La collaborazione include anche supporto per le cartolarizzazioni provenienti dai clienti emittenti di Apollo e ATLAS.
Questa partnership è descritta come uno dei più grandi finanziamenti bilaterali mai realizzati per asset di credito direttamente originati. Si basa sulla collaborazione esistente tra Apollo e BNP Paribas attraverso la piattaforma Eliant per soluzioni di finanziamento dell'inventario. La relazione strategica mira ad accelerare la crescita di ATLAS e a migliorare le sue capacità nei servizi di magazzinaggio e nelle soluzioni garantite da asset di qualità investimenti.
Apollo (NYSE: APO), ATLAS SP Partners y BNP Paribas han anunciado una colaboración estratégica de financiación y mercados de capitales de 5 mil millones de dólares. BNP Paribas proporcionará un compromiso inicial de financiación de 5 mil millones de dólares, que se espera que aumente con el tiempo, para respaldar créditos de grado de inversión respaldados por activos originados por Apollo y ATLAS. La colaboración también incluye apoyo para las titulizaciones de clientes emisores de Apollo y ATLAS.
Esta asociación se describe como uno de los mayores financiamientos bilaterales jamás realizados para activos de crédito originados directamente. Se basa en la colaboración existente de Apollo con BNP Paribas a través de la plataforma Eliant para soluciones de financiación de inventarios. La relación estratégica tiene como objetivo acelerar el crecimiento de ATLAS y mejorar sus capacidades para almacenar y ofrecer soluciones respaldadas por activos de grado de inversión.
아폴로 (NYSE: APO), ATLAS SP 파트너스, 그리고 BNP 파리바스가 50억 달러 규모의 전략적 자금 조달 및 자본 시장 협력을 발표했습니다. BNP 파리바스는 아폴로 및 ATLAS에서 발생한 투자 등급 자산 담보 신용을 지원하기 위해 시간이 지남에 따라 증가할 것으로 예상되는 50억 달러의 초기 자금 지원 약속을 제공합니다. 이 협력에는 아폴로 및 ATLAS 발행 고객이 원천인 증권화 지원도 포함됩니다.
이 파트너십은 직접적으로 발생한 신용 자산을 위한 가장 큰 양자 자금 조달 중 하나로 묘사됩니다. Eliant 플랫폼을 통해 아폴로와 BNP 파리바스 간의 기존 협력을 기반으로 하고 있으며, 이 전략적 관계는 ATLAS의 성장을 가속화하고 창고 및 투자 등급 자산 담보 솔루션에서 고객의 역량을 향상시키는 것을 목표로 합니다.
Apollo (NYSE: APO), ATLAS SP Partners et BNP Paribas ont annoncé une collaboration stratégique de financement et de marchés de capitaux de 5 milliards de dollars. BNP Paribas fournira un engagement de financement initial de 5 milliards de dollars, qui devrait augmenter au fil du temps, pour soutenir des crédits de qualité d'investissement adossés à des actifs générés par Apollo et ATLAS. La collaboration comprend également un soutien pour les titrisations provenant des clients émetteurs d'Apollo et d'ATLAS.
Ce partenariat est décrit comme l'une des plus grandes financements bilatéraux jamais réalisés pour des actifs de crédit directement générés. Il repose sur la collaboration existante d'Apollo avec BNP Paribas via la plateforme Eliant pour des solutions de financement d'inventaire. La relation stratégique vise à accélérer la croissance d'ATLAS et à améliorer ses capacités client en matière de solutions de stockage et de crédit adossé à des actifs de qualité d'investissement.
Apollo (NYSE: APO), ATLAS SP Partners und BNP Paribas haben eine strategische Finanzierung und Kapitalmarkt-Kooperation von 5 Milliarden Dollar angekündigt. BNP Paribas wird ein anfängliches Finanzierungsengagement von 5 Milliarden Dollar bereitstellen, das im Laufe der Zeit voraussichtlich steigen wird, um kreditwürdige, asset-gestützte Kredite zu unterstützen, die von Apollo und ATLAS stammen. Die Zusammenarbeit beinhaltet auch Unterstützung für Verbriefungen, die von den Emittenten von Apollo und ATLAS stammen.
Diese Partnerschaft wird als eine der größten bilateralen Finanzierungen für direkt entstandene Kreditwerte beschrieben. Sie baut auf der bestehenden Zusammenarbeit von Apollo mit BNP Paribas über die Eliant-Plattform für Lagerfinanzierungslösungen auf. Die strategische Beziehung zielt darauf ab, das Wachstum von ATLAS zu beschleunigen und dessen Fähigkeiten im Bereich Lagerung und investitionsgradige, asset-gestützte Lösungen zu verbessern.
- Secured a significant $5 billion financing commitment from BNP Paribas
- Collaboration expected to expand over time, potentially increasing financing
- Partnership enhances Apollo and ATLAS's ability to provide investment-grade, asset-backed credit solutions
- Strengthens relationships with leading global financial institutions
- Accelerates growth potential for ATLAS and its client capabilities
- None.
Insights
This $5 billion strategic collaboration between Apollo, ATLAS SP and BNP Paribas is a significant development in the asset-backed credit market. The deal's magnitude and the involvement of major players signal a robust appetite for investment-grade, asset-backed credit. This collaboration could potentially enhance Apollo's origination capabilities and expand its market share in the securitized products space.
For investors, this partnership may translate to increased deal flow and potentially more attractive investment opportunities in the asset-backed securities market. The commitment to increase the financing over time suggests confidence in the long-term prospects of this collaboration and the underlying market dynamics. However, investors should monitor how this increased capacity affects asset quality and pricing in the securitization market.
This collaboration represents a significant trend in the financial sector towards strategic partnerships between traditional banks and alternative asset managers. It highlights the growing importance of non-bank financial institutions in providing credit to the real economy. The deal could potentially reshape the competitive landscape in the asset-backed securities market, putting pressure on other players to form similar alliances or risk losing market share.
The involvement of BNP Paribas, a leading European bank, in this U.S.-focused collaboration also underscores the increasing globalization of the asset-backed securities market. This could lead to greater cross-border capital flows and potentially more diverse investment opportunities for global investors. However, it's important to monitor how regulatory differences between regions might impact the execution and success of this partnership.
The strategic collaboration between Apollo, ATLAS SP and BNP Paribas raises interesting legal and regulatory considerations. As this partnership involves cross-border elements and significant financial commitments, it likely required careful structuring to comply with various regulatory regimes, including those governing bank partnerships, securitizations and cross-border transactions.
Investors should be aware of potential regulatory scrutiny that may arise from such large-scale collaborations, particularly in light of ongoing discussions about the role of non-bank financial institutions in the credit markets. The involvement of reputable law firms like Paul, Weiss and Cadwalader suggests that significant attention was paid to legal and compliance aspects. However, as the collaboration evolves, it will be important to monitor any regulatory developments that could impact the partnership's operations or the broader market for asset-backed securities.
NEW YORK, Sept. 20, 2024 (GLOBE NEWSWIRE) -- Apollo (NYSE: APO), ATLAS SP Partners (“ATLAS”), the warehouse finance and securitized products business majority owned by Apollo funds, and BNP Paribas, the European Union’s leading global bank, today announced a strategic financing and capital markets collaboration between Apollo, ATLAS and BNP Paribas.
Under the terms of the collaboration, BNP Paribas will make a significant day-1 financing commitment of
Apollo Co-President Jim Zelter said, “We believe this strategic collaboration, which includes one of the largest-ever bilateral financings for directly-originated credit assets, is a testament to the strength of ATLAS’ unique origination capabilities and differentiated model. Working hand-in-hand with BNP Paribas, this transaction shows how Apollo and ATLAS continue to expand relationships with leading global financial institutions and builds on Apollo’s existing collaboration with BNP Paribas to provide inventory finance solutions through the Eliant platform.”
Olivier Osty, BNP Paribas Head of Corporate & Institutional Banking Global Markets, said, “BNP Paribas is an international banking organization offering exemplary client service as well as cutting-edge financing, hedging and investment solutions in the Americas and worldwide. We are pleased to deepen our collaboration with Apollo and ATLAS through this strategic transaction and look forward to further building our business with them both.”
Carey Lathrop, interim CEO of ATLAS SP, added, “As a fully-integrated and scaled origination platform, ATLAS is ideally positioned as an institutional borrower’s partner of choice for warehousing and other investment grade asset-backed solutions. This exciting collaboration with BNP Paribas builds on our strong existing relationships with other financial institutions and should serve to accelerate the growth of ATLAS and its full suite of client capabilities.”
John Gallo, Head of Global Markets Americas & Global Head of Institutional Client Group at BNP Paribas, said, “Our Global Markets business is continually evolving to serve our clients, and today’s news is a testament to this strategy. This collaboration leverages our leading securitization structuring and distribution capabilities to support ATLAS in financing the real economy, while also being complementary to the client franchise and growth objectives of both firms.”
In 2022, Apollo, alongside its subsidiary Athene, and BNP Paribas announced a strategic relationship with the launch of Eliant Inventory Solutions LP, a platform providing flexible financing solutions for working capital and supply chain needs.
Paul, Weiss, Rifkind, Wharton & Garrison LLP served as legal counsel, and Redding Ridge Asset Management acted as structuring agent to Apollo and affiliated entities on the transaction. Cadwalader, Wickersham & Taft LLP served as legal counsel to BNP Paribas.
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
About ATLAS SP
ATLAS SP is a global investment firm providing stable capital, financing, advisory and institutional products to market participants seeking innovative and bespoke structured credit and asset backed solutions. We’re proud to build upon a legacy of client excellence that includes certainty of execution, deep expertise and full-service capabilities across the asset management landscape. For more information, visit www.atlas-sp.com.
About BNP Paribas
BNP Paribas is the European Union’s leading bank and key player in international banking. It operates in 63 countries and has nearly 183,000 employees, including more than 145,000 in Europe. The Group has key positions in its three main fields of activity: Commercial, Personal Banking & Services for the Group’s commercial & personal banking and several specialised businesses including BNP Paribas Personal Finance and Arval; Investment & Protection Services for savings, investment and protection solutions; and Corporate & Institutional Banking, focused on corporate and institutional clients. Based on its strong diversified and integrated model, the Group helps all its clients (individuals, community associations, entrepreneurs, SMEs, corporates and institutional clients) to realise their projects through solutions spanning financing, investment, savings and protection insurance. In Europe, BNP Paribas has four domestic markets: Belgium, France, Italy and Luxembourg. The Group is rolling out its integrated commercial & personal banking model across several Mediterranean countries, Turkey, and Eastern Europe. As a key player in international banking, the Group has leading platforms and business lines in Europe, a strong presence in the Americas as well as a solid and fast-growing business in Asia-Pacific. BNP Paribas has implemented a Corporate Social Responsibility approach in all its activities, enabling it to contribute to the construction of a sustainable future, while ensuring the Group's performance and stability.
About BNP Paribas in the US
BNP Paribas is a premier global banking partner and has built a strong and diversified presence and product suite in the United States (US) to help serve its clients in today’s changing world. The bank employs over 3,500 people in the US across 10 states. Large corporate and institutional clients are served by BNP Paribas’ Corporate & Institutional Banking franchise that has a presence in the main US cities, in addition to a wide international reach through a network of offices in EMEA and APAC. The bank also offers asset management services through BNP Paribas Asset Management as well as Real Estate and Fleet Services through partnerships. www.usa.bnpparibas.com.
CONTACTS
Apollo:
Noah Gunn
Global Head of Investor Relations
(212) 822-0540
IR@apollo.com
Joanna Rose
Global Head of Corporate Communications
(212) 822-0491
communications@apollo.com
ATLAS SP:
(212) 355-4449
atlas-sp@joelefrank.com
BNP Paribas:
Guy Taylor
(332) 323-3704
guild.taylor@us.bnpparibas.com
Claire Schiff
(646) 634-4042
Claire.schiff@us.bnpparibas.com
FAQ
What is the value of the strategic collaboration between Apollo, ATLAS SP, and BNP Paribas?
How will the collaboration between Apollo (APO) and BNP Paribas benefit ATLAS SP?
What types of assets will be supported by the financing commitment from BNP Paribas to Apollo (APO)?
How does this new collaboration relate to Apollo's (APO) existing partnership with BNP Paribas?
