Apollo Debt Solutions BDC 8-K

What Happened

• Apollo Debt Solutions BDC (the Fund) filed an 8-K on June 22, 2026 announcing a June distribution and providing a portfolio and NAV update. The Fund declared a gross distribution of $0.1800 per share for each share class (Class I, S, D) payable to holders of record at the open of business on June 30, 2026 and payable on or about July 29, 2026 (cash or reinvestment option).
• The Fund reported NAV per share of $23.87 for all classes as of May 31, 2026 and aggregate NAV of $14.6 billion. It also disclosed an unregistered sale (Private Offering) completed as of June 1, 2026 (finalized June 22, 2026) of 2,378,661 Class I Common Shares for $56,787,208 to feeder vehicles.

Key Details

• Distribution amounts (declared June 22, 2026): Class I net $0.1800; Class S gross $0.1800 / net $0.1633 (after $0.0167 servicing fee); Class D gross $0.1800 / net $0.1751 (after $0.0049 fee). Record date June 30, 2026; payment ~July 29, 2026.
• NAV and portfolio metrics (as of May 31, 2026): NAV per share $23.87; portfolio fair value ≈ $25.9 billion across 405 companies; aggregate NAV $14.6 billion; principal debt outstanding ≈ $11.9 billion; debt-to-equity leverage ≈ 0.81x; net leverage 0.77x.
• Portfolio profile: ~99% first‑lien debt, ~96% floating‑rate debt; weighted‑average yield at amortized cost 8.43%; weighted‑average net loan‑to‑value 41%; interest coverage 2.6x. Excess availability under secured facilities ≈ $4.3 billion.
• Offering status and share issuance: Fund continues a continuous public Offering (up to $10.4 billion) and has sold shares in both the Offering and Private Offering totaling ~684.5 million shares representing ~$16.85 billion of consideration; Private Offering included 368,905,485 Class I shares ($9.10 billion).

Why It Matters

• Income: The declared $0.18 monthly distribution and the stated annualized distribution rate (Class I ≈ 9.05% as of June 22, 2026) are primary drivers for income-focused investors evaluating yield from this BDC.
• NAV stability & leverage: NAV moved slightly from $23.92 (April 30) to $23.87 (May 31), showing minimal change; leverage ratios (debt-to-equity ~0.81x, net leverage ~0.77x) and $4.3 billion of excess facility availability indicate liquidity and balance-sheet capacity to support operations and distributions.
• Capital raising and dilution: The Fund continues to issue shares through its public Offering and Private Offering (including the recent ~2.38M share unregistered sale for ~$56.8M), which increases capital for investing but also increases outstanding shares—an important consideration for existing shareholders.