Apollo joins mission to secure £3bn takeover of debt-laden AA

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Apollo Global Management has told the AA it is considering making an offer for the roadside recovery service, Sky News learns.

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Its previous targets include Brit Insurance, the television producer Endemol Shine and Watches of Switzerland, the UK-based retailer. They then merged it with Saga, the over-50s travel and insurance provider under Acromas, a new corporate umbrella, before the whole structure was unwound just a few years later.

Ironically, given its history, all of the prospective private equity bidders have committed to injecting substantial sums of equity into the company to cut its debts.In a statement this week, the AA said:"The board of AA believes that in order for the business to achieve its full potential it needs to have greater financial flexibility to make longer-term investment decisions that are in the best interests of the group's shareholders and its wider stakeholders.

 

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