An affiliate of Ken Griffin’s Citadel has acquired roughly $485 million in Yellow Corp. debt previously owned by Apollo Global Management Inc. and other senior lenders to the bankrupt trucking firm, according to a person familiar with the matter.

The deal comes as Yellow seeks to secure a bankruptcy loan to fund its liquidation. Apollo and other senior lenders had offered to provide the company $142.5 million in new money to fund the trucking firm’s wind-down, but Yellow was approached with less expensive options after filing Chapter 11.

Apollo and other existing Yellow lenders won’t proceed with their proposed Chapter 11 loan as a result of the Citadel deal, the person said. A Yellow lawyer said last week it is considering alternative bankruptcy loans from hedge fund MFN Partners LP, the company’s largest shareholder, and rival trucking company Estes Express Lines.

A Citadel spokesman declined to comment. Lawyers representing Citadel Credit Master Fund LLC filed court papers Tuesday in Yellow’s bankruptcy. A representative for Apollo declined to comment.

The Financial Times first reported that Citadel acquired Yellow debt owned by Apollo and other lenders.

Yellow has said the alternative bankruptcy loans its considering are less expensive and will give the company more time to sell its valuable real estate portfolio and vast fleet of trucks and trailers. The Chapter 11 loan offered by funds managed by Apollo and other existing lenders carried 17% interest and higher fees.

The case is Yellow Corp. 23-11069, US Bankruptcy Court District of Delaware (Wilmington).