Carlyle Group is acquiring Apollo Aviation Group, a global commercial aviation money manager with $5.6 billion in assets under management, as a new business line, according to a joint news release issued Monday.
Apollo Aviation's AUM include 243 aircraft owned, managed or committed to purchase. When the deal closes, expected no later than Jan. 31, the business will be known as Carlyle Aviation Partners and will be part of Carlyle's global credit business.
"AAG's expertise in managing and investing in aviation assets and use of long-term fund structures allows it to invest well through economic cycles," Mark Jenkins, head of Carlyle's global credit business, said in a statement in the news release. "We are excited to welcome the highly accomplished AAG management team, which is a proven force in the growing commercial aviation finance market."
AAG is headed by Bill Hoffman, chairman, and Robert Korn, president.
"Joining forces with The Carlyle Group allows us to continue to support our airline customers and play an even greater strategic role in the aviation sector," Mr. Korn said in a statement in the news release.
Carlyle spokesman Christopher Ullman said terms of the deal are not being disclosed.
Carlyle is expanding its global credit platform and AAG is a strong business with solid growth and a great team, Mr. Ullman said.