- Athene Holding announced a first close for Apollo / Athene Dedicated Investment Program II with about $2 billion in capital commitments.
Athene Holding announced a first close for Apollo / Athene Dedicated Investment Program II (“ADIP II”) with approximately $2 billion in capital commitments. ADIP II is the second vintage of the innovative sidecar program formed to augment Athene’s growth capacity through long-term, on-demand capital.
The funds from ADIP II will be invested directly alongside Athene into Athene Co-Invest Reinsurance Affiliate Holding 2 Ltd. (ACRA 2), a consolidated subsidiary of Athene, which is managed to the same risk, investment, and capital standards as Athene.
ADIP II builds on the success of the franchise’s first vintage, ADIP I, which supported ACRA 1 starting in 2019, as it scaled to become a leading reinsurance platform with over $60 billion of assets and an ‘A+/A1’ rating by S&P, Fitch and Moody’s. ADIP I serves as strong proof of concept for the strategy, utilizing both Athene’s ability to source attractive, persistent, spread-based liabilities and Apollo’s experience in delivering superior asset management across market cycles.
The strong investor demand for ADIP II is a testament to the strategy’s differentiation within investors’ portfolios, performance with downside protection, and significant alignment between Apollo, Athene, and third-party investors.
With the first close, and including excess equity capital and untapped debt capacity, it is anticipated that Athene will have access to over $7 billion of deployable capital to pursue attractive growth opportunities in the retirement services marketplace. And the significant opportunity across Athene’s diverse, multi-channel organic and inorganic origination engine enables Athene to be nimble and pivot opportunistically across channels, focusing on the most attractive opportunities.
KEY QUOTE:
“The strategic partnership between Athene and Apollo only continues to get stronger, with full alignment achieved following the merger in early 2022 and significant profitable growth aspirations ahead. We continue to believe that funding a significant amount of our growth with participation from private, long-term third-party capital is a win-win scenario for our business and our investors, and we are excited about the road ahead.”
— Athene CEO Jim Belardi
