Apollo Debt Solutions BDC 8-K

What Happened

• Apollo Debt Solutions BDC (ADS) filed an 8‑K reporting a private, unregistered sale of Class I common shares to feeder vehicles (sold as of March 2, 2026, finalized March 23, 2026). The sale comprised 2,225,060 Class I shares for $53,711,829. ADS also declared March 2026 distributions of $0.1800 gross per share for each share class (net amounts: Class I $0.1800, Class S $0.1626, Class D $0.1749), payable to holders of record at the open of business March 31, 2026 and expected to be paid on or about April 29, 2026.
• The filing includes a portfolio and NAV update: NAV per share was $24.14 as of February 28, 2026; aggregate NAV was $15.1 billion and the fair value of the investment portfolio was ~$25.0 billion. The Fund reported about $10.7 billion of principal debt outstanding (debt‑to‑equity ≈ 0.71x) and a net leverage ratio of ~0.63x. Portfolio characteristics: ~100% first‑lien debt, ~96% floating‑rate, weighted‑average yield at amortized cost ~8.57%, and ~$4.5 billion of excess availability under secured funding facilities.
• ADS continues a public Offering (up to $10.0 billion) and a Private Offering. Cumulative shares issued (Offering + Private Offering) totaled 676,582,969 shares for $16,660,902,190 as of this filing date.

Key Details

• Unregistered sale: 2,225,060 Class I shares for $53,711,829 (sold as of March 2; finalized March 23, 2026).
• Distribution declared: $0.1800 gross per share; record date March 31, 2026; pay/reinvest around April 29, 2026.
• NAV and portfolio (as of Feb 28, 2026): NAV/share $24.14; portfolio fair value ~$25.0B across 406 companies; aggregate NAV $15.1B.
• Leverage/liquidity: principal debt ~$10.7B (debt/equity ~0.71x); net leverage ~0.63x; ~$4.5B excess borrowing availability.

Why It Matters

• Distributions: The $0.18/share distribution reflects the Fund’s current cash return policy and will affect near‑term cash flows for shareholders (cash or reinvestment option).
• Capital raising and issuance: The unregistered sale and the ongoing Offering show ADS is raising capital through both public and private channels; that increases shares outstanding and is relevant for dilution and future deployment of capital.
• Financial position and risk: NAV, portfolio size, high share of first‑lien and floating‑rate debt, moderate leverage (0.63x net) and substantial available funding ($4.5B) give investors a snapshot of the Fund’s exposure, liquidity and ability to finance new investments.