The Wall Street Journal is reporting Leon Black is stepping down as CEO of Apollo Global Management Inc. “after an independent review revealed larger-than-expected payments to disgraced financier Jeffrey Epstein.” The review, by Dechert LLP, claims the payments were justified.
Black paid Epstein $148 million for advice on “trust-and estate-tax planning.”
Apollo Global Management has “pushed hard into the U.S. media industry” in recent years. In 2019, Black’s firm was tapped by Gatehouse for a $1.8 billion loan to acquire newspaper publisher Gannett.
Another distressed company Black acquired during his tenure was Hostess snack cakes. That was a $410 million deal.
Pitchbook’s Wylie Fernthough says “Apollo has pivoted away from its roots in the buyout and distressed credit space.” Reportedly, new CEO Marc Rowan will continue taking the firm into a new direction.
