Apollo Investment Corp. (AINV) is about to reach a deal to buy health-care lender MidCap Financial LLC. The said agreement is priced at about US$500 million according to people familiar with the matter.

According to same sources, the deal with MidCap may be announced next week. As of now, no agreement has yet taken place making discussions possibly fall through.

Fifth Third Bancorp (FITB) also expressed their interest in MidCap still from the same sources.

Last month, sources said that the firm was working with Bank of America Corp. to find bids to lend medical device makers, health-care related companies and drugmakers.

Spokesmen from Apollo Investment, Fifth Third, MidCap and Bank of America refused to comment with said report.

MidCap started operations in 2008 with a US$500 million investment from Lee Equity Partners LLC, Moelis & Co. and Genstar Capital LLC stated in a statement at the time.

Apollo Investments lends to finance, aviation, health-care and other types of firms having US$50 million to US$2 billion annual sales according to its company's yearly sales data.