Apollo raises USD3.9 billion to buy out distressed assets in Europe
American private equity firm Apollo Global Management LLC raised USD3.9 billion to acquire distressed assets in Europe. A Bloomberg report said that Apollo is eyeing for hotels and resorts in Spain. Roger Orf, head of Apollo's real estate business in Europe, said in a statement that the lodging industry is bombed out and needs capital.
Apollo has USD114.3 billion assets under management, based on its latest filing with the Securities and Exchange Commission.
According to the report, the New York-based investment firm will be competing against The Blackstone Group LP, Goldman Sachs & Co. and Lone Star Funds for Spanish real estate properties.
Bloomberg also said that Apollo is currently negotiating the acquisition of a group of hotels in another European country. Apollo aims to create a pan-Europe hotel group with Spain as the core, it said.
Apollo has been one of the largest buyers of distressed European assets following the financial crisis in 2008. It acquired around 11,000 UK mortgages and Irish commercial property debt. It also invested more than EUR1 billion in Spain over the last three years. In September, Apollo bought Spanish bank Evo Banco in Madrid, Bloomberg said.