Apollo Global Management and HPS Investment Partners have teamed up with KKR & Co to provide £1.3 billion in debt financing for Constellation Automotive Group. This information comes from sources familiar with the transaction, who requested anonymity.

Initially, Constellation secured a private unitranche loan from KKR, which subsequently sold portions of this debt to other private credit firms, including Hayfin Capital Management. This move highlights a shift in financing strategies, as Constellation, owned by TDR Capital, opts for private markets despite a trend among companies favoring publicly traded markets.

Currently, Constellation has over £2 billion in outstanding debt, as reported by Bloomberg. While Apollo, KKR, and Hayfin declined to comment on the deal, HPS was not immediately available for a statement.