Leon Black's Apollo Global Management is taking a 60% stake in a new company called AR Global Investments, which will absorb roughly $19B of Nicholas Schorsch's (pictured) real estate holdings. As part of the deal, Apollo will pay $200M in cash and $178M in stock. $50M will go to RCS Capital, the network of brokers that sells Schorsch's REITs to investors, with half of that going toward purchasing RCS's wholesale distribution business. Schorsch experienced problems this past October when one of his REITs revealed that it had intentionally concealed accounting errors. This revelation led to a 29% drop in RCS shares to $4.25. Schorsch resigned from RCS's board, but remains in control of the company through stock ownership. This deal increases Apollo's managed real estate assets from $10B to $27M, while raising the firm's total assets to $182B. [BB]