Key insights
- Apollo Global Management is exiting its entire stake in ADT through a 102 million share offering. ADT will repurchase up to 29.1 million shares, signaling confidence and potentially supporting the stock price. The market views ADT as undervalued. This event is slightly bullish for ADT, but has minimal impact on the broader US equity market.
BOCA RATON, Fla. - ADT Inc. (NYSE:ADT) announced today that entities managed by affiliates of Apollo Global Management, Inc. plan to sell 102,000,366 shares of the company’s common stock in a secondary public offering, representing Apollo’s entire remaining stake in the security solutions provider.
ADT will not sell any shares or receive proceeds from the offering, according to a press release statement. The company intends to repurchase up to 29,142,961 shares from the underwriters as part of the transaction under its existing $1.5 billion share repurchase plan. This aligns with what InvestingPro identifies as aggressive share buyback activity by management. Trading at a P/E ratio of 9.91 with a PEG ratio of just 0.44, InvestingPro analysis suggests ADT is currently undervalued relative to its Fair Value.
The underwriters will not receive fees for shares repurchased by ADT. Barclays and Citigroup are serving as book-running managers for the offering.
The remaining shares may be sold through various methods including transactions on the New York Stock Exchange, over-the-counter market, through brokers, or via negotiated transactions at market or negotiated prices.
A shelf registration statement and preliminary prospectus supplement related to the offering have been filed with the Securities and Exchange Commission.
ADT provides security, interactive, and smart home solutions to residential and small business customers in the United States. For deeper analysis, ADT is among the 1,400+ US stocks covered by comprehensive Pro Research Reports, transforming complex data into actionable intelligence.
In other recent news, ADT Inc. reported a robust performance for the first quarter of 2026, surpassing both earnings and revenue forecasts. The company’s earnings per share (EPS) came in at $0.23, which was higher than the anticipated $0.21, representing a 9.52% beat. Additionally, ADT’s revenue reached $1.3 billion, exceeding expectations of $1.26 billion by 3.17%. This strong financial showing reflects positively on the company’s current operations and strategy. The earnings results have been well-received, highlighting the company’s ability to exceed market projections. Investors have shown confidence in ADT’s performance, as indicated by the recent developments. These results are likely to be a focal point for stakeholders assessing the company’s future prospects.
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