(Bloomberg) -- It took more than eight years as a public company for Apollo Global Management Inc. to add $5.5 billion to its market value. On Tuesday, it accomplished that feat in a single trading session.
Shares of the alternative-asset manager surged 7.1%, the most in more than a year, to close at an all-time high of $149.27, after posting a profit that beat Wall Street estimates. The results were driven by record origination volumes, a crucial pillar in the firm’s bid to double assets under management by 2029.
“The Apollo engines were humming across the platform,” Evercore ISI analyst Glenn Schorr said in a note to clients, attributing the stock surge to a 10% gain in management fees.
Apollo, led by Chief Executive Officer Marc Rowan, said it originated a record $62 billion across its core credit, high-grade capital solutions and equity origination businesses. The firm has diversified significantly from its private equity roots and is making origination — offering and structuring loans as part of its investment portfolio — a crucial part of its growth strategy.
Assets under management climbed 16% to $733 billion, fueled by private credit and wealth products.
Apollo’s market value totaled $2.3 billion at its March 2011 initial public offering and didn’t reach $7.8 billion until September 2019, according to data compiled by Bloomberg. On Tuesday, it climbed $5.6 billion to $85 billion.
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