Apollo nears West deal, joins peers with stellar earnings
May 01, 2017
On the same day the firm announced its 1Q earnings, a different development pushed Apollo Global Management into the spotlight. Apollo is in advanced talks to acquire West (NASDAQ: WSTC), a teleconferencing company with a market cap of some $2.2 billion, according to Reuters, although negotiations are reportedly still proceeding and no deal is considered imminent. West has been publicly traded since 2013. Before that, the Omaha-based business had been privately owned by Thomas H. Lee Partners and Quadrangle Group.
In terms of 1Q earnings, Apollo joined fellow buyout giants Blackstone and KKR in besting analyst expectations. The firm reported economic net income of $331.6 million, or $0.82 per share, topping a reported estimate of $0.64. With realizations of $1.1 billion, Apollo’s private equity portfolio appreciated 8% during 1Q; at quarter-end, the firm’s eighth flagship fund, an $18.4 billion vehicle closed near the end of 2013, was 71% deployed.