Apollo Global Management turned to Simpson Thacher & Bartlett for legal advice as the company launched a private credit fund with money from Abu Dhabi’s Mubadala Investment Co.
The Wall Street law firm’s role in the $790 million fund was disclosed in a recent filing with the Securities and Exchange Commission. Simpson Thacher, a private equity and mergers and acquisitions powerhouse, did not respond to a request for comment.
Middle Market Apollo Institutional Private Lending will invest money from an affiliate of sovereign wealth fund Mubadala and others. It is structured as a business development company, offering investors no fee during the first year and a reduced fee the following year, according to the filing.
Big Law firms have been leaning into alternative lending work, which has surged recently as borrowing costs remain high. Total private credit assets are expected to reach $2.2 trillion by 2027, according to London-based investment data company Prequin Ltd.
The Middle East has become a popular destination for law firms, including some of the biggest players in the U.S.
The Middle East & Africa generated $74.7 billion in deals volume last year, of which $21.1 billion came from the United Arab Emirates. Saudi Arabia has also lured lawyers in with its promises of ambitious infrastructure work and deep pockets funding foreign investments and local development.
The Simpson team advising on the fund includes Washington, D.C. partners David Blass, a former SEC official, and Steven Grigoriou.
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