Apollo Global Management, Inc. APO and its subsidiary, ATLAS SP Partners, have joined forces with BNP Paribas to establish a strategic financing and capital markets collaboration. This partnership involves a significant day-1 financing commitment of $5 billion from BNP Paribas, with potential for growth in the future. The collaboration also includes a capital markets partnership to support securitizations for Apollo and ATLAS issuer clients, focusing on investment-grade, asset-backed credit offerings.
In addition to this collaboration, Apollo, along with its subsidiary Athene, previously announced a strategic partnership with BNP Paribas in 2022. This partnership led to the creation of Eliant Inventory Solutions LP, a platform designed to provide flexible financing options for supply chain and working capital needs.
The collaboration between Apollo, ATLAS, and BNP Paribas highlights the unique origination capabilities of ATLAS and its innovative strategy. This partnership represents one of the largest bilateral financings for directly-originated credit assets. By working closely with BNP Paribas, Apollo and ATLAS aim to strengthen their relationships with leading international banks and expand their portfolio of inventory finance solutions through the Eliant platform.
ATLAS, known for its integrated and scalable origination platform, is an ideal partner for institutional borrowers seeking investment-grade asset-backed solutions. This collaboration with BNP Paribas will further enhance ATLAS’s relationships with financial institutions and support its growth and customer service capabilities.
John Gallo, Head of Global Markets Americas & Global Head of Institutional Client Group at BNP Paribas, emphasized the importance of this collaboration in expanding client services and supporting the real economy. He highlighted the partnership’s alignment with the growth objectives of both firms and the value it brings to clients.
Olivier Osty, BNP Paribas Head of Corporate & Institutional Banking Global Markets, expressed his satisfaction with deepening the collaboration with Apollo and ATLAS. He emphasized BNP Paribas’s commitment to providing exceptional client service and innovative financial solutions globally and in the Americas.
In terms of stock performance, APO has seen a 10.7% increase in the past six months, slightly lower than the industry average of 12.8%. The company currently holds a Zacks Rank #3 (Hold). Investors seeking alternative bank stocks may consider USCB Financial and First Reliance Bancshares. USCB has shown a 39.7% increase in shares over the past six months and holds a Zacks Rank #1 (Strong Buy). On the other hand, FSRL has experienced a 17.2% rise in shares and holds a Zacks Rank #1 (Strong Buy) as well.
Overall, the strategic partnership between Apollo, ATLAS, and BNP Paribas signifies a significant step in enhancing financing options, expanding client services, and driving growth in the financial sector. This collaboration demonstrates the value of innovative partnerships in meeting the evolving needs of clients and supporting the real economy.