Apollo Commits to £4.5 Billion Financing for Électricité de France, Marking the Largest Sterling-Denominated Private Credit Transaction

Rhea-AI Summary

Apollo has committed to a landmark £4.5 billion financing deal with Électricité de France (EDF) through fixed-rate callable notes, marking the largest sterling-denominated private credit transaction. The funds will primarily support EDF's UK projects, particularly the Hinkley Point C nuclear power station. This investment is part of EDF's €50 billion Euro Medium Term Note program and represents the largest capital funding transaction in EDF's history. The deal strengthens Apollo's position as a major capital provider in Europe, building on its track record of investing in French companies and its High-Grade Capital Solutions strategy, which has originated over $100 billion in bespoke capital solutions since 2020 for leading companies like Intel, Air France-KLM, and BP.

Positive

• Record-breaking £4.5 billion financing deal demonstrates Apollo's strong capital deployment capabilities
• Strategic investment in critical energy infrastructure through EDF's Hinkley Point C nuclear power station
• Strengthens Apollo's position in European markets and relationship with French government
• Builds on successful track record of High-Grade Capital Solutions strategy with over $100 billion originated since 2020

Negative

• None.

Insights

Investment Banking Expert

Apollo secures record £4.5B deal with EDF, strengthening its position in high-grade capital solutions and European infrastructure financing.

Apollo's £4.5 billion financing agreement with Électricité de France represents a significant milestone in the private credit market. This transaction stands as the largest sterling-denominated private credit deal ever executed and marks EDF's largest capital funding transaction to date. The fixed-rate callable notes, issued under EDF's €50 billion Euro Medium Term Note program, will primarily fund the Hinkley Point C nuclear power station and other UK projects.

The deal showcases Apollo's growing capability in providing large-scale, bespoke financing solutions to major European entities. This transaction adds to Apollo's impressive $100+ billion of originated bespoke capital solutions since 2020 through its High-Grade Capital Solutions strategy, which has served blue-chip clients like Intel, BP, Sony, and AB InBev.

Particularly notable is Apollo's strategic positioning within the European energy infrastructure space, which faces significant transition challenges and capital requirements. By backing nuclear power development in the UK, Apollo is gaining exposure to critical infrastructure with long-term, government-backed cash flow potential.

The transaction further cements Apollo's relationship with the French government and EDF while building on their 25+% year history of investing in French companies, including €2.5 billion in financing to Air France-KLM. For Apollo investors, this deal demonstrates the firm's continued execution of its strategy to deploy capital into high-quality credit opportunities with attractive risk-adjusted returns, particularly in sectors with high barriers to entry and significant capital needs.

Proceeds to primarily finance EDF projects in the UK, notably the Hinkley Point C nuclear power station

NEW YORK, June 20, 2025 (GLOBE NEWSWIRE) -- Apollo (NYSE: APO) today announced that Apollo-managed affiliates, funds, and strategic accounts have signed an agreement to invest up to £4.5 billion in fixed-rate callable notes issued by Électricité de France (“EDF”) pursuant to its €50 billion Euro Medium Term Note (“EMTN”) program. Proceeds from the financing will be used primarily to finance EDF projects in the United Kingdom, most notably the Hinkley Point C nuclear power station. This transaction represents one of the largest sterling-denominated note issuances on record.

Apollo Partner Jamshid Ehsani said, “Apollo is pleased to provide this bespoke, large-scale financing to EDF in support of its vital role in advancing European energy sovereignty and power infrastructure, including in the UK.”

Ehsani continued, “This landmark transaction highlights our deepening partnership with the French government and EDF and reaffirms our commitment to being a premier capital provider to leading European companies. This is the largest-ever capital funding transaction executed by EDF and the largest private credit transaction in the sterling market.”

This investment also builds on Apollo’s longstanding history of investing in French companies for nearly three decades. Notably, Apollo has provided €2.5 billion of High-Grade Capital Solutions across three transactions to Air France-KLM in recent years.

Since 2020, under its High-Grade Capital Solutions strategy, Apollo has originated over $100 billion of bespoke capital solutions for leading companies such as Intel, Air France-KLM, BP, Sony, AB InBev, Vonovia, and more.

Latham & Watkins, LLP and Kirkland & Ellis LLP acted as legal counsel to Apollo while Apollo Capital Solutions Europe B.V. is providing structuring and arrangement services in connection with the transaction. BNP Paribas and Hogan Lovells, LLP acted as financial and legal advisors, respectively, to EDF.

About Apollo
Apollo is a high-growth, global alternative asset manager. In our asset management business, we seek to provide our clients excess return at every point along the risk-reward spectrum from investment grade credit to private equity. For more than three decades, our investing expertise across our fully integrated platform has served the financial return needs of our clients and provided businesses with innovative capital solutions for growth. Through Athene, our retirement services business, we specialize in helping clients achieve financial security by providing a suite of retirement savings products and acting as a solutions provider to institutions. Our patient, creative, and knowledgeable approach to investing aligns our clients, businesses we invest in, our employees, and the communities we impact, to expand opportunity and achieve positive outcomes. As of March 31, 2025, Apollo had approximately $785 billion of assets under management. To learn more, please visit www.apollo.com.

Apollo Contacts

Noah Gunn
Global Head of Investor Relations
Apollo Global Management, Inc.
(212) 822-0540
IR@apollo.com

Joanna Rose
Global Head of Corporate Communications
Apollo Global Management, Inc.
(212) 822-0491
Communications@apollo.com / europeanmedia@apollo.com

FAQ

What is the size of Apollo's financing commitment to EDF in 2025?

Apollo has committed to invest up to £4.5 billion in fixed-rate callable notes issued by Électricité de France (EDF).

How will EDF use the funds from Apollo's £4.5 billion financing?

The proceeds will primarily finance EDF projects in the United Kingdom, most notably the Hinkley Point C nuclear power station.

What makes Apollo's EDF financing deal significant?

It represents the largest sterling-denominated private credit transaction and the largest capital funding transaction ever executed by EDF.

How much has Apollo's High-Grade Capital Solutions strategy originated since 2020?

Apollo has originated over $100 billion of bespoke capital solutions since 2020 for leading companies including Intel, Air France-KLM, BP, Sony, and AB InBev.

What is Apollo's track record with French companies?

Apollo has been investing in French companies for nearly three decades, including providing €2.5 billion of High-Grade Capital Solutions across three transactions to Air France-KLM in recent years.