Apollo Expands in Private Credit With BDC for Individuals

Apollo Global Management Inc. set up a new company that is lending directly to big corporations using money raised from individual investors, the latest asset manager to take advantage of soaring retail demand for higher-yielding floating-rate instruments.

The new firm, called Apollo Debt Solutions, is a business development company with more than $1 billion of assets under management, it said in a statement on Tuesday. BDCs sell shares to individual investors and pay out almost all their earnings as dividends. Most are listed, but Apollo Debt Solutions isn’t.

It’s the latest entrant in the booming private-lending market, which has been ...