Apollo Global Management (NYSE: APO), operator of the Venetian casino hotel and convention center in Las Vegas, will join the S&P 500 effective December 23, S&P Dow Jones Indices announced. The stock surged 6.14% in after-hours trading following the news.

Apollo's Gaming Portfolio and Venetian Success

Apollo acquired the Venetian's operating rights for $2.25 billion in March 2021, as part of a $6.25 billion deal with VICI Properties. Since February 2022, the company has invested $490 million in property improvements, including new restaurants, a sportsbook, and a poker room. An additional $1 billion investment is planned.

The company is also acquiring Everi and International Game Technology's global gaming and PlayDigital units, expanding its gaming industry presence.

S&P 500 Inclusion Impact

Apollo joins private equity rivals Blackstone and KKR as the third private equity firm in the S&P 500. This inclusion is significant because:

• The S&P 500 is one of the world's most widely tracked equity indices
• Trillions of dollars are benchmarked to the index
• Both active and passive funds tracking the index must purchase newly added stocks
• The three largest U.S. ETFs track the S&P 500

Apollo will replace Qorvo Inc. in the index, while Qorvo will move to the S&P SmallCap 600. All changes take effect at the U.S. market open on December 23.

Related Articles

Previous Articles