SCHEDULE 13G/A: Apollo Affiliates Disclose 19% Stake in Ares Dynamic Credit Allocation Fund's Preferred Shares
Amendment to Beneficial Ownership Report
A group of Apollo-affiliated entities, led by Athene Annuity and Life Company, has filed an amendment to disclose their continued beneficial ownership of 760,000 Mandatory Redeemable Preferred Shares, representing 19% of the class, in Ares Dynamic Credit Allocation Fund, Inc.
Summary
- A Schedule 13G/A amendment has been filed by a group of nine Apollo-affiliated entities, including Athene Annuity and Life Company, Apollo Insurance Solutions Group LP, and Apollo Management Holdings GP, LLC.
- The filing reports beneficial ownership of 760,000 Mandatory Redeemable Preferred Shares of Ares Dynamic Credit Allocation Fund, Inc.
- This aggregate ownership represents 19% of the total outstanding Mandatory Redeemable Preferred Stock.
- The ownership is distributed across different series of preferred stock: 360,000 shares of Series A (45.0% of Series A), 160,000 shares of Series B (13.3% of Series B), and 240,000 shares of Series C (12.0% of Series C).
- All reporting persons hold shared voting and shared dispositive power over these 760,000 shares, with no sole voting or dispositive power.
- The filing states that the securities were acquired and are held in the ordinary course of business and not for the purpose or effect of changing or influencing control of the issuer.
Sentiment
Score: 5
Explanation: The document is a standard regulatory filing disclosing beneficial ownership, indicating a neutral sentiment as it does not contain positive or negative operational or financial news about the issuer, nor does it suggest any change in investment strategy or intent to influence control.
Future Outlook
N/A
Management Comments
- The reporting persons certify that the securities were acquired and are held in the ordinary course of business and were not acquired and are not held for the purpose of or with the effect of changing or influencing the control of the issuer of the securities.
Industry Context
This filing is a routine disclosure of beneficial ownership by institutional investors, common in the financial industry. Apollo Global Management, through its various affiliates like Athene, frequently holds significant stakes in investment vehicles and companies as part of its asset management and insurance operations. This particular filing indicates a continued, substantial, but passive investment in a credit allocation fund.
Stakeholder Impact
- Shareholders: Provides transparency regarding significant institutional ownership of preferred shares, confirming a stable, passive investment by a major financial group.
- Management: Confirms that the significant stake is held for investment purposes in the ordinary course of business, without intent to influence control.
Key Dates
| Date | Description |
|---|---|
| 2024-06-30 | Date as of which outstanding shares of Series A, B, and C Mandatory Redeemable Preferred Stock were reported by the Issuer in its Certified Shareholder Report. |
| 2024-09-04 | Date the Issuer filed its Certified Shareholder Report with the SEC, reporting outstanding preferred shares. |
| 2024-12-31 | Date of event which requires the filing of this statement. |
| 2025-02-14 | Date of filing of this Schedule 13G/A amendment. |
Keywords
Ares Dynamic Credit Allocation Fund, Apollo Management Holdings, Athene Annuity and Life Company, Schedule 13G/A, Beneficial Ownership, Preferred Shares, Mandatory Redeemable Preferred Stock, SEC Filing, Investment Management, Credit Allocation Fund
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