Pitney Bowes completed the sale of its Pitney Bowes Management Services arm for US$400 million in cash to funds affiliated with the investment firm Apollo Global Management LLC. Pitney Bowes states proceeds from the sale of the business principally are to be used to pay down debt.
Pitney Bowes Management Services, therefore, becomes a standalone company that is to operate under a new name to be determined by Apollo. The sale of the Pitney Bowes Management Services business to Apollo was first announced on July 30, 2013.
Apollo describes itself as a global alternative investment manager with offices in New York, Los Angeles, Houston, London, Frankfurt, Luxembourg, Singapore, Mumbai and Hong Kong. Apollo had assets under management of approximately US$113 billion as of June 30, 2013, in private equity, credit and real estate funds across nine core industries.
Pitney Bowes develops software and hardware for direct mail, transactional mail and call-centre communications, along with channel messaging for the Web, email and mobile applications.