NEW YORK & MINNEAPOLIS--(BUSINESS WIRE)--
An investor group led by funds managed by affiliates of Apollo Global
Management, LLC (together with its consolidated subsidiaries, “Apollo”)
(NYSE:APO) and Värde Partners, Inc. (“Värde”) today announced they have
entered into a definitive agreement with a company primarily owned by
funds managed by an affiliate of Fortress Investment Group LLC
(“Fortress”) to acquire all of its remaining equity interest in OneMain
Holdings, Inc. (“OneMain” or the “Company”) (NYSE:OMF) for $26.00 per
share. Upon completion of the transaction, the Apollo and Värde led
investor group will own approximately 40.5% of OneMain. The transaction,
which is expected to close in the second quarter of 2018, is subject to
regulatory approvals and other customary closing conditions.
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“We are tremendously excited for our managed funds, together with Värde,
to acquire a significant position in OneMain,” said Matthew Michelini, a
Partner at Apollo. “As one of America’s premier consumer finance
companies, we believe OneMain is exceptionally well-positioned for
continued growth and innovation. We look forward to working with
OneMain’s dedicated team of employees and leveraging Apollo’s resources
and deep expertise in financial services as the Company embarks on the
next chapter of its long history of success.”
“We are delighted to be making a strategic investment in OneMain,” said
Aneek Mamik, North America Head of Specialty Finance at Värde Partners.
“We look forward to collaborating with the highly experienced teams at
OneMain and Apollo to grow and develop the business for the benefit of
all stakeholders. The investment is a complementary extension of our
deep expertise globally in specialty finance.”
“We appreciate all of the support and insight that Fortress has provided
as a key partner and majority investor over the last seven years of our
company’s journey,” said Jay Levine, President and CEO of OneMain
Holdings, Inc. “With a clear path forward to achieve our long-term
objectives, we are confident that the thought leadership and expertise
represented by this new investor group will be instrumental as we build
further shareholder value.”
Barclays is serving as lead financial advisor and Sidley Austin LLP is
serving as legal counsel to the Apollo and Värde led investor group in
connection with this transaction. Goldman Sachs is also providing
advisory services to the investor group. Citi is serving as financial
advisor to Fortress and Cravath Swaine & Moore LLP is serving as legal
counsel to Fortress in connection with this transaction.
About Apollo Global Management
Apollo is a leading global alternative investment manager with offices
in New York, Los Angeles, Houston, Chicago, St. Louis, Bethesda,
Toronto, London, Frankfurt, Madrid, Luxembourg, Mumbai, Delhi,
Singapore, Hong Kong and Shanghai. Apollo had assets under management
(AUM) of approximately $242 billion as of September 30, 2017 in private
equity, credit and real assets funds invested across a core group of
nine industries where Apollo has considerable knowledge and resources.
For more information about Apollo, please visit www.agm.com.
The investment in OneMain by the Apollo-managed funds is being made from
Apollo Investment Fund VIII, L.P. and its parallel funds (collectively,
“Apollo Fund VIII”). Including its commitment to OneMain, Apollo Fund
VIII has committed approximately 88% of its available capital.
About Värde Partners
Värde Partners is a $13 billion global alternative investment firm that
employs a value-based approach to investing across a broad array of
geographies, segments and asset types, including specialty finance, real
estate, corporate credit, mortgages, energy and transportation. The firm
sponsors and manages a family of private investment funds with a global
investor base that includes foundations and endowments, pension plans,
insurance companies, other institutional investors and private clients.
Now in its third decade, Värde employs more than 270 people globally
with regional headquarters in Minneapolis, London and Singapore.
About OneMain Holdings, Inc.
OneMain Holdings, Inc. (NYSE: OMF) is America’s premier consumer finance
company, offering responsible and transparent personal loan products for
over 100 years. The company provides personalized, best-in-class service
at their 1,600+ branches and online. OneMain has more than 10,000 team
members, located throughout 44 states, who are dedicated to serving and
supporting the communities where they live and work. For additional
information, please visit OneMainFinancial.com.
Forward Looking Statements
This press release may contain forward looking statements that are
within the meaning of Section 27A of the Securities Act of 1933, as
amended, and Section 21E of the Securities Exchange Act of 1934, as
amended. These statements include, but are not limited to, discussions
related to Apollo’s expectations regarding the performance of its
business, its liquidity and capital resources and the other
non-historical statements in the discussion and analysis. These
forward-looking statements are based on management's beliefs, as well as
assumptions made by, and information currently available to, management.
When used in this press release, the words “believe,” “anticipate,”
“estimate,” “expect,” “intend” and similar expressions are intended to
identify forward-looking statements. Although management believes that
the expectations reflected in these forward-looking statements are
reasonable, it can give no assurance that these expectations will prove
to have been correct. These statements are subject to certain risks,
uncertainties and assumptions, including risks relating to our
dependence on certain key personnel, our ability to raise new private
equity, credit or real estate funds, market conditions, generally, our
ability to manage our growth, fund performance, changes in our
regulatory environment and tax status, the variability of our revenues,
net income and cash flow, our use of leverage to finance our businesses
and investments by our funds and litigation risks, among others. We
believe these factors include but are not limited to those described
under the section entitled “Risk Factors” in Apollo’s annual report on
Form 10-K filed with the Securities and Exchange Commission (the “SEC”)
on February 13, 2017, as such factors may be updated from time to time
in our periodic filings with the SEC, which are accessible on the SEC’s
website at www.sec.gov.
These factors should not be construed as exhaustive and should be read
in conjunction with the other cautionary statements that are included in
this press release and in other filings. We undertake no obligation to
publicly update or review any forward-looking statements, whether as a
result of new information, future developments or otherwise, except as
required by applicable law. This press release does not constitute an
offer of any Apollo fund.
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Apollo Global Management
For investor inquiries
regarding Apollo:
Gary M. Stein
Head of Corporate
Communications
Apollo Global Management, LLC
212-822-0467
gstein@apollolp.com
Noah
Gunn
Investor Relations Manager
Apollo Global Management, LLC
212-822-0540
ngunn@apollolp.com
For
media inquiries regarding Apollo:
Charles Zehren
Rubenstein
Associates, Inc. for Apollo Global Management, LLC
212-843-8590
czehren@rubenstein.com
Värde
Partners
Communications and Public Affairs
communications@varde.com
+44
(0) 203 371 2208
OneMain Holdings
Kathryn
Miller, 475-619-8821
Kathryn.Miller@onemainfinancial.com
Source: Apollo Global Management, LLC; Värde Partners; OneMain Holdings, Inc.