Apollo Raises $1.8 Billion in Push for Big Corporate Loans

  • New fund comes after $12 billion platform launched last year
  • Firm moving into market traditionally controlled by big banks
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Apollo Global Management Inc. sees an increasing opportunity to make large corporate loans, a business long dominated by the biggest global banks.

The firm has raised $1.8 billion for Apollo Origination Partnership, a new direct-lending fund that’s seeking an internal rate of return of 8% to 10%, excluding leverage, and 12% to 14% with borrowed money, according to a letter sent to investors Tuesday.