Deals

How Apollo’s Last-Minute Twist Salvaged Carvana’s Debt Sale

  • Apollo ended up with about $1 billion of the total financing
  • Pimco, Franklin also swooped in with large orders for deal

Vehicles inside the Carvana Co. car vending machine in Frisco, Texas, U.S.

Photographer: Laura Buckman/Bloomberg
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Carvana Co.’s bankers at JPMorgan Chase & Co. and Citigroup Inc. were in a bind.

The bank duo were trying to sell a roughly $3.3 billionBloomberg Terminal debt package to finance the used-car retailer’s purchase of Adesa Inc.’s U.S. car-auction business -- a deal that would not only widen Carvana’s geographic footprint, but also slash delivery times and boost production capacity.