Apollo to Privatize Bridge Investment Group Private For $1.5B

Apollo Global Management (APO) has agreed to acquire Bridge Investment Group (BRDG) for $1.5 billion in stock. As reported by Bisnow, the deal would effectively privatize the massive portfolio of multifamily and industrial properties.

Deal Details

The blockbuster acquisition will nearly double Apollo’s real estate assets under management, propelling its portfolio to $110B.

Notably, the deal involves a stock swap, with each Bridge share being exchanged for 0.07081 shares of Apollo stock, valued at $11.50 per Bridge share. 

Following the announcement, Bridge’s share price surged by 36%, reflecting the market’s positive response to the acquisition.

Bridge’s New Role

This acquisition strengthens Apollo’s position as a leading player in the real estate sector, putting it closer to its ambitious goal of reaching $1.5T in assets under management (AUM) by 2029.

Bridge Investment Group, based in Salt Lake City, is one of the largest private equity real estate managers, overseeing around $50B in real estate assets. Bridge’s real estate assets will now operate as part of Apollo’s real estate platform, but Bridge will retain its identity as a standalone business within the company.

Bob Morse, Bridge’s Executive Chairman, will join Apollo as a partner and lead the real estate equity business. Apollo’s leadership sees significant potential in scaling Bridge’s products and leveraging the firm’s expertise to enhance its own platform.

A Growing Portfolio

Apollo’s appetite for expansion continues, following its $11B merger with Athene in 2022 and its recent agreement to acquire Argo Infrastructure Partners for $6B.

The Bridge deal further solidifies Apollo’s growing real estate and alternative asset management capabilities. With this major move, Apollo continues its strategy of bolstering its real estate division and expanding its integrated platform to better serve clients and achieve long-term growth.