American Capital Announces Planned Refinancing of Secured Debt

BETHESDA, Md., July 19, 2012 /PRNewswire/ -- American Capital, Ltd. (Nasdaq: ACAS) ("American Capital" or the "Company") announced today that it plans to refinance virtually all of its existing recourse debt with two new senior secured credit facilities (the "Facilities").  Proceeds of the Facilities will also be used for working capital and general corporate purposes.  J.P. Morgan Securities LLC will be joint lead arranger and joint bookrunner on the transaction.   

The Facilities are expected to consist of a revolving credit facility and a $600 million four-year institutional term loan facility.  Details of the planned Facilities will be provided to potential participants at a lender meeting to be held on July 24, 2012, in New York, NY.

The entry into the Facilities will be contingent upon, among other things, a successful syndication and the satisfaction of conditions precedent to the definitive documentation.  The terms of the Facilities could be materially different than described above and no assurances can be given that the Facilities will be consummated.  

ABOUT AMERICAN CAPITAL
American Capital is a publicly traded private equity firm and global asset manager. American Capital, both directly and through its asset management business, originates, underwrites and manages investments in middle market private equity, leveraged finance, real estate and structured products.  American Capital has $101 billion in assets under management and seven offices in the U.S. and Europe.  American Capital and its affiliate, European Capital, will consider investment opportunities from $10 million to $500 million.  For further information, please refer to www.AmericanCapital.com.

FORWARD LOOKING STATEMENTS
This press release contains forward-looking information and statements, including but not limited to the potential refinancing of the Company's existing secured debt.  Forward-looking statements give our current expectations and projections relating to the Company's financial condition, results of operations, plans, objectives, future performance and business. You can identify forward-looking statements by the fact that they do not relate strictly to historical or current facts. These statements may include words such as "anticipate," "estimate," "expect," "project," "plan," "intend," "believe," "confident," "may," "should," "can have," "likely," "future" and other words and terms of similar meaning in connection with any discussion of the timing or nature of future operating or financial performance or other events. Forward looking statements are not guarantees of performance or results, and involve known and unknown risks, uncertainties (some of which are beyond the Company's control), assumptions and other factors that may cause actual results or events to differ materially from those anticipated in such forward-looking statements, including in particular the Company's ability to complete, on terms satisfactory to the Company, the negotiations relating to the proposed new credit facilities.  Should one or more of these risks or uncertainties materialize, the Company's actual results may vary in material respects from those projected in any forward-looking statements. A detailed discussion of these and other factors that may affect future results is contained in our filings with the U.S. Securities and Exchange Commission.  Any forward-looking statement made by the Company in this press release speaks only as of the date on which it is made. The Company undertakes no obligation to update any forward-looking statement, whether as a result of new information, future developments or otherwise, except as may be required by law.

Contact:
Investor Relations - (301) 951-5917

SOURCE American Capital, Ltd.

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