Apollo to Buy ADT for $6.9 Billion in 2016's Biggest LBO Yet

  • Investment firm's co-founder had said LBO pipeline drying up
  • Holders to receive $42 a share in cash, a 56% premium

Apollo's $6.9 Billion ADT Purchase Defies Debt Markets

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Apollo Global Management said it would acquire home-security monitoring company ADT Corp. for about $6.9 billion, agreeing to the biggest leveraged buyout of the year against a backdrop of credit markets that have seized up.

Apollo will pay $42 a share in cash for the Boca Raton, Florida-based company, according to a statementBloomberg Terminal Tuesday. That’s 56 percent above the Friday closing price for ADT, which was spun off by Tyco International Ltd. in 2012.