Apollo’s $11 Billion Merger With Athene

Skadden, Arps, Slate, Meagher & Flom LLP advised Apollo Global Management, while Latham & Watkins LLP represented the special committee of Athene’s board in the transaction.

Apollo (NYSE: APO) and Athene (NYSE: ATH) have entered into a definitive agreement to merge in an all-stock transaction that implies a total equity value of approximately $11 billion for Athene. Under the terms of the transaction, each outstanding Class A common share of Athene will be exchanged for a fixed ratio of 1.149 shares of Apollo common stock. Upon closing of the merger, current Apollo shareholders will own approximately 76% of the combined company on a fully diluted basis, and Athene shareholders will own approximately 24%.

The merger of Apollo and Athene combines two growth companies providing products and services that are in high demand – investment returns and retirement income. The stronger capital base and complete alignment will allow the company to rapidly scale asset and liability origination, broaden distribution channels and act as a leading global solutions provider. The company will operate in an environment powered by strong market and demographic trends. The transaction is expected to close in January of 2022.

Apollo is a leading global investment manager with assets under management of approximately $455 billion as of December 31, 2020 in credit, private equity, and real assets funds.

Athene, through its subsidiaries, is a leading retirement services company with total assets of $202.8 billion as of December 31, 2020 and operations in the United States, Bermuda, and Canada. Athene specializes in helping its customers achieve financial security and is a solutions provider to institutions. 

The Skadden team advising Apollo included M&A and Financial Institutions partners Todd Freed (New York; Picture), Jon Hlafter (New York) and Christopher Ulery (Washington, D.C.), counsel Patrick Lewis (New York), and associates Liana-Marie Lien (New York) and William Leonard (New York); Tax partner Jessica Hough (Washington, D.C.) and associateRobert Stevenson (Washington, D.C.); M&A partner Richard Grossman (New York); and Investment Management partners Michael Hoffman (New York) and Heather Cruz (New York).

Latham & Watkins LLP represented the special committee of Athene’s board in the transaction with an M&A deal team led by New York partners Peter Harwich and Robert Katz, New York/Orange County partner Charles Ruck, and Chicago partner Max Schleusener, with Chicago associate Megan Staub and New York associates Karen Song and Sophia Choi. Advice was provided by New York litigation partners James Brandt and Christopher Harris, with Orange County counsel Kristin Murphy and New York associate Sara Brown. Advice was also provided on tax matters by Washington, D.C. partner Andrea Ramezan-Jackson, with Washington, D.C. associate Pierce Pandolph; on benefits and compensation matters by New York partner Jennifer Pepin, with New York associate Brian DeShannon; on antitrust matters by Washington, D.C. partner Alan Devlin and Washington, D.C. counsel Peter Todaro; and on securities law matters by Washington, D.C. partners Joel Trotter and Alex Cohen.

Involved fees earner: James Brandt – Latham & Watkins; Sara Brown – Latham & Watkins; Jeewon Choi – Latham & Watkins; Alexander Cohen – Latham & Watkins; Brian DeShannon – Latham & Watkins; Alan Devlin – Latham & Watkins; Christopher Harris – Latham & Watkins; Peter Harwich – Latham & Watkins; Robert Katz – Latham & Watkins; Kristin Murphy – Latham & Watkins; Pierce Pandolph – Latham & Watkins; Jennifer Pepin – Latham & Watkins; Andrea Ramezan-Jackson – Latham & Watkins; Charles Ruck – Latham & Watkins; Max Schleusener – Latham & Watkins; Karen Jinmeng Song – Latham & Watkins; Megan Staub – Latham & Watkins; Peter Todaro – Latham & Watkins; Joel Trotter – Latham & Watkins; Heather Cruz – Skadden Arps Slate Meager & Flom; Todd Freed – Skadden Arps Slate Meager & Flom; Richard Grossman – Skadden Arps Slate Meager & Flom; Jon Hlafter – Skadden Arps Slate Meager & Flom; Michael Hoffman – Skadden Arps Slate Meager & Flom; Jessica Hough – Skadden Arps Slate Meager & Flom; William Leonard – Skadden Arps Slate Meager & Flom; Patrick Lewis – Skadden Arps Slate Meager & Flom; Liana-Marie Lien – Skadden Arps Slate Meager & Flom; Robert Stevenson – Skadden Arps Slate Meager & Flom; Christopher Ulery – Skadden Arps Slate Meager & Flom;

Law Firms: Latham & Watkins; Skadden Arps Slate Meager & Flom;

Clients: Apollo Global Management; Athene Holding Ltd. – Special Committee;

Martina Bellini

Author: Martina Bellini