Apollo Reportedly Caps Private Credit Fund Withdrawals; Stock Dives

• Apollo intends to stick to the same cap next quarter as it balances “the interests of shareholders seeking liquidity with those who choose to remain invested,” per the letter. 
• The firm expects the granted redemptions to amount to roughly $730 million of gross outflows for the first quarter.
• Apollo Debt Solutions is returning less cash to clients than some of its peers that capped withdrawals, the report said.  

Apollo Global Management is reportedly curbing redemptions from one of its largest non-traded private credit funds for retail investors, sending shares down nearly 3% in extended hours of trading. 

The $25 billion business development company, Apollo Debt Solutions, capped withdrawals at 5% of outstanding shares Monday after clients sought to redeem 11.2%, according to a report from Bloomberg News that cited a shareholder letter. 

Details

With redeeming investors receiving just 45% of their capital, Apollo Debt Solutions is returning less cash to clients than some of its peers that capped withdrawals, the report said.  

Apollo intends to stick to the same cap next quarter as it balances “the interests of shareholders seeking liquidity with those who choose to remain invested,” per the letter. Apollo, which has been pushing for more transparency in private markets, reportedly said that Apollo Debt Solutions had returned 1% over the past three months. 

The firm expects the granted redemptions to amount to roughly $730 million of gross outflows for the first quarter, offsetting the roughly $724 million of inflows for the period, the report said. 

Private Sector Reeling

The private credit industry has been seeing a rise in redemption rates across several funds over fears about the asset class, as well as its exposure to software businesses, which are at risk of AI-related disruption.

Blue Owl earlier said that it will permanently stop allowing redemptions from Blue Owl Capital Corp. II, a semi-liquid private credit fund marketed to U.S. retail investors.

Blackstone’s $82 billion Blackstone Private Credit Fund (BCRED) disclosed a rise in redemption rates. BCRED’s first-quarter (Q1) redemption requests totaled 7.9% of the outstanding shares, up from 4.5% in Q4. 

Retail reaction

Retail sentiment around APO trended in ‘bearish’ territory amid ‘normal’ message volume. 

Shares in the company have fallen 24% so far in 2026.