Apollo Global Management Inc. has teamed up with KB Securities Co. to explore private credit opportunities in South Korea and globally, according to the global firm’s spokesperson.

Under the agreement, KB Securities will receive preferential rights to participate in Apollo’s global credit transactions, according to a LinkedIn post. The Korean firm said it plans to expand its global private credit footprint and enhance its capabilities in deal sourcing, financing, and arranging. The memorandum of understanding was signed last week in Seoul.

South Korea has emerged as a bright spot for private credit in recent years. Earlier this year, SC Lowy Financial HK Ltd. said that beyond the property sector, corporate lending opportunities are gradually increasing as large family-run conglomerates, known as chaebols, face mounting financial challenges.

“We are excited to bring our capital partners in Korea one step closer to the source of the many investment opportunities we are originating in private credit globally,” said Matthew Michelini, head of Apollo’s Asia Pacific business.

Apollo opened its Seoul office in November last year and appointed Jay Hyun Lee as partner and head of Korea to lead its expansion and execution strategy in the market.