Apollo Debt Solutions BDC, a non-traded perpetual-life business development company sponsored by affiliates of Apollo Global Management, increased its regular monthly distribution from $0.1408 per share to $0.1600 per share, which represents an increase in annualized distribution rate from 7.3% to 8.3%, for Class I common shares, based on the October NAV per share of $23.07. Class S common shares will receive an increased net distribution of $0.1439, a 7.5% distribution yield, while Class D common shares will receive an increased net distribution of $0.1553, representing an 8.1% distribution yield.
The BDC’s board of trustees approved the increase in distribution, starting with the November 2022 monthly distribution, which is payable to shareholders of record as of Nov. 30, 2022, and will be paid on or about Dec. 27, 2022.
According to the company, the increase in the regular monthly distribution is driven by the fund’s higher level of core earnings, primarily from the positive impact of rising rates and attractive spreads on the fund’s directly originated loan investments.
Apollo Debt Solutions BDC launched its $5 billion offering in early 2022 and has raised approximately $2.3 billion through its public and private offerings, as of Nov. 16, 2022.