(Dec 5): Singaporean sovereign-wealth fund GIC is in talks to invest in Atlas SP Partners, the securitisation business that Apollo Global Management Inc bought from Credit Suisse Group AG, according to a person with knowledge of the matter.
Terms of the agreement, including the size of GIC’s planned investment in the platform, couldn’t be learned. Representatives of Apollo and Atlas SP declined to comment, and a GIC representative didn’t immediately respond to a request for comment.
Any capital injection from GIC would follow an effort by Apollo to raise capital that enables Atlas SP’s balance sheet to grow to more than US$50 billion (RM233.30 billion) from about US$40 billion in February. The platform bundles debts such as car loans and mortgages into bonds that it sells, and needs funding to help temporarily finance assets that get packaged into securities, Bloomberg News has reported.
Apollo said in June that Abu Dhabi Investment Authority had provided a cornerstone capital commitment to Atlas SP, and that it had “substantial additional capital raising underway”.
Atlas SP, led by chief executive officer Jay Kim, has been active in recent months. In October, the firm was part of an investor group that agreed to provide a US$1.1 billion delayed-draw mortgage facility to open-air shopping centre landlord Site Centers Corp. Atlas SP also led a US$200 million warehouse facility for Above Lending, which specialises in consumer installment loans, and separately led a securitisation for equipment-financing company Equify Financial.