American Capital Closes New $70 Million Secured Credit Facility
BETHESDA, Md., March 29 /PRNewswire-FirstCall/ -- American Capital Strategies
Ltd. announced today that is has closed a $70 million secured credit facility.
Branch Banking and Trust Company, a subsidiary of BB&T Corporation , is the
agent and lead lender in the facility. LaSalle Bank N.A., a subsidiary of ABN
AMRO NV , Fifth Third Bank, a subsidiary of Fifth Third Bancorp , and Hibernia
National Bank, a subsidiary of Hibernia Corporation , are also lenders in the
facility.
The facility has a three year commitment with a one year revolving term and is
priced at LIBOR plus 200 basis points. The facility is secured by certain
senior and subordinated debt assets of American Capital and has an advance rate
of 80%, subject to certain customary conditions.
"This new facility provides additional capital availability and is a great new
relationship with several outstanding institutions," said American Capital Chief
Financial Officer John Erickson. "Once again, we have had third party
underwriting and scrutiny of our portfolio of assets. The support of these
lenders is a confirmation of the quality of our portfolio." Through February 29, 2004, American Capital shareholders have enjoyed a total
return of 287% since the Company's IPO -- an annualized return of 23%, assuming
reinvestment of dividends. American Capital has declared a total of $13.82 per
share in dividends since its August 1997 IPO.
American Capital is a publicly traded buyout and mezzanine fund with capital
resources in excess of $2.7 billion. American Capital is an investor in and
sponsor of management and employee buyouts; invests in private equity sponsored
buyouts, and provides capital directly to private andsmall public companies. American Capital provides senior debt, mezzanine debt and equity to fund growth,
acquisitions and recapitalizations.
Companies interested in learning more about American Capital's flexible
financing should contact Mark Opel, Principal, at (800) 248-9340, or visit our
website at http://www.americancapital.com/.
This press release contains forward-looking statements. The statements
regarding expected results of American Capital Strategies are subject to various
factors and uncertainties, including the uncertainties associated with the
timing of transaction closings, changes in interest rates, availability of
transactions, changes in regional or national economic conditions, or changes in
the conditions of the industries in which American Capital has made investments. DATASOURCE: American Capital Strategies Ltd.
CONTACT: John Erickson, Chief Financial Officer, +1-301-951-6122, or Tom McHale, Vice President, Finance and Investor Relations, +1-301-951-6122, both of American Capital Strategies Ltd.
Web site: http://www.americancapital.com/
|