Leon Black Calls Relationship With Jeffrey Epstein a ‘Horrible Mistake’

“Like many different individuals I revered, I made a decision to present Epstein a second probability,” he mentioned. “This was a horrible mistake. I want I may return in time and alter that call, however I can not.”

On the request of Mr. Black, who’s Apollo’s chief govt and chairman, the agency’s unbiased board members have already employed the legislation agency Dechert to investigate his dealings with Mr. Epstein. The assessment is anticipated to take a number of weeks to finish.

Many massive pensions and the consultants who advise them about the place to take a position their {dollars} are ready for the outcomes of the inquiry. Not less than one shopper, a public pension fund for Pennsylvania lecturers, has already mentioned it won’t make investments more cash with Apollo till the investigation is over.

Mr. Black, who mentioned he was “by nature a non-public particular person,” delivered his remarks in a name with analysts. Usually, Mr. Black stays on such calls to reply questions, however on Thursday he turned issues over to his co-founders Josh Harris and Marc Rowan and different prime executives.

The decision started with Gary Stein, the agency’s head of investor relations, reiterating that the agency had by no means carried out enterprise with Mr. Epstein and saying Apollo wouldn’t handle the matter past Mr. Black’s remarks.

Apollo reported internet revenue of $272.4 million for the third quarter, or $1.11 a share, down from $363.3 million, or $1.63 a share, a 12 months earlier. Distributable earnings, a intently watched measurement of the agency’s means to return money to buyers, was $272.4 million, or $1.11 a share, within the interval, down from $363.3 million, or $1.63 a share, a 12 months earlier.

However Apollo reported that complete belongings underneath administration on the agency, which makes a speciality of utilizing leverage and investor {dollars} to take over ailing firms, rose to $433 billion within the third quarter, which was up from $413.6 billion within the second quarter.

Shares of Apollo have been down 2.65 % by the shut of buying and selling on Thursday.

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