Apollo Global Management plans to seek $10 billion to $12 billion for a new buyout fund, according to two people briefed on the matter.
The firm’s eighth main private equity fund would be smaller than its predecessor, which raised almost $15 billion in 2008. Apollo expects to formally start marketing the fund later this year, said one of the people, who asked not to be identified because the information is private.
Charles Zehren, an Apollo spokesman, declined to comment.
Apollo’s main funds invest in leveraged buyouts and purchase debt as a way to own companies. The 2008 fund, Apollo Investment Fund VII, had invested $13.1 billion in client capital and was valued at $19.7 billion at the end of the second quarter, producing a net internal rate of return of 23%. Apollo Fund VII has realized gains of $7.2 billion, according to the company’s second-quarter earnings release.