Apollo Halts Talks to Acquire Parts of Greensill Capital
Financial Times, citing people familiar with the matter, reported that US private equity firm Apollo Global Management, which has made a USD 59.5 million cash offer for Greensill Capital's IT systems and intellectual property after it filed for administration on March 8th, has now halted talks to acquire parts of Greensill following an escalating stand off with US company Taulia, which once provided technology to the supply chain finance group, as Taulia looked to move its users to other providers, primarily the US bank JPMorgan. If the offer by Apollo is saved, it would potentially rescue the jobs of up to 500 UK Greensill employees. But a collapsed deal would reveal Greensill's reliance on technology partners, despite the firm selling itself as one with a reputation for AI and ML excellence.
Meanwhile, Greensill Capital issued a public statement via its website saying “Chris Laverty, Trevor O’Sullivan and Will Stagg of Grant Thornton UK LLP were appointed as joint administrators of Greensill Capital (UK) Limited and Greensill Capital Management Company (UK) Limited on 8 March 2021 (the Joint Administrators). The Joint Administrators are in continued discussion with an interested party in relation to the purchase of certain Greensill Capital assets. As these discussions remain ongoing, it would be inappropriate to comment further at this time. Following these appointments, the directors of Greensill Capital Pty Ltd resolved to appoint Matt Byrnes, Phil Campbell-Wilson, and Michael McCann of Grant Thornton Australia Ltd, as voluntary administrators in Australia. Greensill Capital Pty is the parent company for the Greensill Group, and provides administration and head office support to the Group but operates only in a limited capacity.”
The London-based fintech Greensill Capital specialised in the provision of supply financing and related services. It was also Liberty Steel's biggest financial backer.