Apollo's Deal to Take Over Schorsch's $19B Real Estate Business Falls Through

Apollo Global Management's plan to buy a controlling interest in Nicholas Schorsch's newly formed AR Global investments has been mutually terminated.

Apollo spent roughly a year working on the deal, led by co-founder Marc Rowan. The 60% stake in the business, with an estimated $19B of assets, would have more than doubled the size of Apollo's real estate business, and produced $100M a year in fees, the Wall Street Journal reports. As part of the deal to terminate the transaction, AR Capital will purchase $25M of preferred stock of RCS Capital Corp from Apollo.

It's speculated that financial issues, along with investigations into Schorsch's empire, may have killed the deal. [WSJ]

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