Main Street Announces Exit Of Portfolio Investment

Generates $3.7 Million Realized Gain and 35.3% Internal Rate of Return From Exit of Investment in Texas ReExcavation, LC

News provided by

Main Street Capital Corporation

Oct 09, 2014, 07:00 ET

HOUSTON, Oct. 9, 2014 /PRNewswire/ -- Main Street Capital Corporation (NYSE: MAIN) ("Main Street") announced today that it recently fully exited its investment in Texas ReExcavation, LC ("T-Rex"). T-Rex is a provider of hydro excavation and vacuum excavation services for a variety of industry sectors, including the petrochemical, pipeline, municipal, utilities, construction, oil & gas, engineering, transportation, telecommunication, and environmental industries.

Main Street partnered with third party investors and certain members of T-Rex's management team to support the acquisition of T-Rex in December 2012. Main Street's investment consisted of a $6.0 million senior secured, second lien debt investment and a $2.9 million preferred equity investment representing 17.4% of the fully-diluted equity interests in the parent holding company of T-Rex. In September 2014, Main Street realized a gain of approximately $3.7 million on the sale of T-Rex. On a cumulative basis, Main Street realized an internal rate of return of 35.3% and a 1.6 times money invested return on its investment in T-Rex.

ABOUT MAIN STREET CAPITAL CORPORATION

Main Street (www.mainstcapital.com) is a principal investment firm that provides long-term debt and equity capital to lower middle market companies and debt capital to middle market companies. Main Street's portfolio investments are typically made to support management buyouts, recapitalizations, growth financings, refinancings and acquisitions of companies that operate in diverse industry sectors. Main Street seeks to partner with entrepreneurs, business owners and management teams and generally provides "one stop" financing alternatives within its lower middle market portfolio. Main Street's lower middle market companies generally have annual revenues between $10 million and $150 million. Main Street's middle market debt investments are made in businesses that are generally larger in size than its lower middle market portfolio companies.

Main Street's common stock trades on the New York Stock Exchange ("NYSE") under the symbol "MAIN." In addition, Main Street has outstanding 6.125% Notes due 2023, which trade on the NYSE under the symbol "MSCA."

Contacts:
Main Street Capital Corporation
Dwayne L. Hyzak, CFO and Senior Managing Director
[email protected]
713-350-6000

Dennard ▪ Lascar Associates
Ken Dennard / [email protected]
Jenny Zhou / [email protected]
713-529-6600

SOURCE Main Street Capital Corporation