Apollo Debt Solutions Expands $3.5B Credit Facility
The amended agreement boosts flexibility and lowers borrowing costs ahead of the company’s next growth phase.
August 13, 2025
Apollo Debt Solutions Broadens Credit Capacity, Extends Maturity in Strategic Refinancing
Apollo Debt Solutions BDC has updated its senior secured revolving credit facility to unlock more capital, reduce borrowing costs, and give itself a longer planning horizon. The new agreement, effective August 12, 2025, increases the facility size from $2.740 billion to $3.453 billion and extends the maturity by nearly a year—pushing it out from October 2029 to August 2030.
The changes aren’t just about scale. Apollo cut the commitment fee from 0.375% to 0.325%, bringing down the cost of keeping the facility in place. Borrowing spreads were also adjusted, giving the company lower margin levels when it maintains stronger asset coverage. That structure creates built-in incentives for Apollo to keep its balance sheet in a healthy range.
The accordion feature, which allows for future increases to the credit facility, now tops out at $5.180 billion, up from the previous $4.110 billion. This gives Apollo added flexibility if it wants to raise more debt down the line—without needing a full refinance.
The facility continues to rely on a Borrowing Base framework. Advance rates still vary by asset type, depending on coverage ratios at the time. These controls ensure that borrowing capacity tracks with portfolio quality. The company remains subject to leverage limits under the Investment Company Act of 1940.
JPMorgan Chase Bank, N.A. continues to serve as administrative agent, with several lenders in the facility. While many core terms remain the same, Apollo also reset its minimum shareholders’ equity test as part of the amendment.
With this update, Apollo improves its access to capital while lowering the cost of that capital. The extended maturity and scaled-up accordion give the firm more room to respond to shifting market conditions, while the lower fees and tiered spreads help reduce financing friction. All of this strengthens Apollo’s position as it continues deploying capital across its investment strategy.
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