Greensill Capital files for administration, close to finalizing Apollo deal – FT

Greensill Capital (UK) Ltd. has filed for administration in the U.K. after a chain of events that saw investors suspend funds linked to the supply chain finance company, the Financial Times reported March 8.

Greensill has fallen into "severe financial distress" and is no longer able to pay its debts, lawyers for the lender said in court documents.

The filing could pave the way for U.S. private equity firm Apollo Global Management Inc. to finalize a deal with Greensill, potentially within days, one person familiar with the matter told the Financial Times. Apollo has made a $59.5 million cash offer for Greensill's intellectual property and IT systems, and is the "only credible bidder," according to court documents.

It follows news that Credit Suisse Group AG's fund management arm had suspended $10 billion worth of funds linked to Greensill, reportedly triggered by concerns over Greensill's large exposure to steel magnate Sanjeev Gupta, as well as lapsing insurance policies. Swiss asset manager GAM Holding AG also announced it would wind down its $842 million GAM Greensill Supply Chain Finance fund.