Apollo structures risk in AI compute financing

Mike Paniwozik explains Apollo's fundamental principle that good structure cannot overcome bad credit. He walks through how Apollo underwrites counterparty quality, aligns incentives through equity ownership, and uses structure to minimise obsolescence risk, roll risk, and cost overrun exposure. The Valent XAI data centre transaction is used as a concrete example, highlighting the use of shorter-tenor amortising loans, triple-net leases, and hell-or-high-water take-or-pay contracts.