Apollo Global Management faces an unexpected downturn in its attempt to sell Heritage Grocers Group, a Hispanic-focused supermarket chain that has struggled amid Trump-era immigration policies. The retailer, which operates over 100 stores under brands like Cardenas Markets, aimed for a $1.5bn valuation but now battles dwindling foot traffic and falling sales. Apollo's asset has failed to attract buyers, highlighting how private equity portfolios are hit by policies that otherwise favor Wall Street.

The grocery chain's woes stem from Trump immigration raids deterring immigrant customers and cuts to government food aid. Its $895mn debt now trades at 64 cents on the dollar, with S&P Global downgrading it into deeper junk territory. Competitors like BlackRock and JPMorgan Chase also lost millions on auto lender Tricolor, which collapsed after serving minority communities.

The Heritage Grocers case reveals how Trump's pro-business agenda creates ripple effects. While his policies weakened regulation and cut taxes for corporations, they also disrupted PE-backed businesses reliant on immigrant labor and government aid. For Apollo, the failed exit underscores the risks of aligning portfolios with politically volatile sectors, even when broader markets remain buoyant.