Apollo Weighs Deal for $10 Billion Plastics Firm Covestro (2)

Apollo Global Management Inc., the buyout firm led by billionaire Leon Black, is exploring a takeover of German plastics maker Covestro AG, according to people with knowledge of the matter.

The New York-based investment firm contacted Covestro in recent weeks, said the people, who asked not to be identified as the information is private. Shares of the Leverkusen-based company jumped as much as 9.5% at the open of trading in Frankfurt.

Covestro was spun out of the drugmaker Bayer AG in an initial public offering in October 2015. While the company’s shares have risen 68% since ...