Apollo Global Management Inc (APO.US) plans to acquire Atlantic China Welding Consumables, Inc. for 100 billion dollars, aiming to compete with the private aviation services giant.

According to informed sources, Apollo Global Management Inc (APO.US) is close to reaching an agreement to acquire Atlantic China Welding Consumables, Inc. aviation from competitor KKR (KKR.US). The transaction values the private aircraft fixed base operator (FBO) at close to 10 billion dollars. Sources say that Apollo is partnering with Singapore sovereign wealth fund GIC to acquire a majority stake in the company, while KKR will inject new funds to retain a significant stake. Unless there are last-minute obstacles, the deal could be announced as soon as next week. Sources added that KKR may still decide not to sell the company. It was reported last April that KKR, after acquiring Atlantic China Welding Consumables, Inc. aviation from Macquarie Infrastructure for around 4.5 billion dollars in 2021, was considering selling it. This transaction comes at a time when the private equity giant is successfully making another exit; currently, its competitors are struggling to reduce holdings and return funds to investors. This month, KKR agreed to sell cooling company CoolIT Systems to Ecolab Inc. for 4.75 billion dollars. The company stated that the transaction price is around 15 times its original equity investment in 2023. According to Atlantic China Welding Consumables, Inc. aviation's website, the company operates over 100 fixed bases in the United States, providing services including refueling, de-icing, maintenance for private aircraft, and concierge services for passengers. Additionally, the company also offers customers hangar and office space rentals.