ACAS American Capital, Ltd.

BETHESDA, Md., Aug. 27 /PRNewswire-FirstCall/ -- American Capital Strategies Ltd. (NASDAQ:ACAS), the only alternative asset management company in the S&P 500, the largest U.S. publicly traded private equity fund and one of the largest publicly traded alternative asset managers, announced today that on August 29, 2007 it will celebrate 10 years as a publicly traded company on the NASDAQ Global Select Market. The Company intends to commemorate its anniversary by ringing the opening bell at the NASDAQ MarketSite location in New York on that day. American Capital's senior management team, led by Chairman, Chief Executive Officer and President Malon Wilkus and its Board of Directors will participate in the ceremony. The ceremony will be broadcast live at approximately 9:20am EST on August 29th on the NASDAQ website at http://www.nasdaq.com/about/marketsitetowervideo.asx. American Capital has $17 billion in assets under management(1), including its investments in externally managed funds. American Capital, both directly and through its global asset management business, is an investor in management and employee buyouts, private equity buyouts, and early stage and mature private and public companies. American Capital provides senior debt, mezzanine debt and equity to fund growth, acquisitions, recapitalizations and securitizations. American Capital and its affiliates invest from $5 million to $800 million per company in North America and euro 5 million to euro 500 million per company in Europe. "Today American Capital reaches another milestone, commemorating 10 years as a publicly traded company," said Malon Wilkus, American Capital Chairman, CEO and President. "The average American investor typically can only invest in publicly traded companies, which represent only 2% of all the companies in the United States. American Capital makes it possible to invest in a portfolio of companies that are part of the 98% of companies that are private. Private companies drive employment, innovation and growth in our economy. American Capital invests in private companies; and you can invest in us." As of August 27, 2007, American Capital shareholders have enjoyed a total return of 549% since the Company's IPO, an annualized return of 21%, assuming reinvestment of dividends. American Capital has paid a total of $1.7 billion in dividends and paid or declared $25.16 dividends per share since going public in August 1997 at $15 per share. As of July 31 of this year American Capital has outperformed 91% of all U.S. public companies with a market capitalization greater than $1 billion since our IPO. "We have provided our shareholders with consistent, excellent performance," Wilkus continued. "Over the past ten years, we have outperformed the S&P 500 in every year with the exception of our first full year as a public company, including during the three years that the S&P 500 had negative returns. Among other things, we pioneered the formation of permanent capital in the private equity industry and the securitization of our asset class, achieving BBB investment grade ratings. In addition, we have launched and are continuing to expand our asset management business, with third party assets under management accounting for approximately 28% of our total internal and external funds under management. We established in 2005 and through a portfolio company manage European Capital (LSE:ECAS), a $2.5 billion private equity fund recently listed on the London Stock Exchange. We are extremely proud of these achievements. I want to thank our shareholders, Board of Directors, employees, business partners and NASDAQ, all of whom have contributed to our organization and enabled us to arrive at this important moment in our company's history." Headquartered in Bethesda, MD, American Capital and its wholly-owned alternative asset management portfolio company have approximately 650 employees in 12 offices in the United States and Europe, including Chicago, Dallas, Frankfurt, London, Los Angeles, Madrid, New York, Palo Alto, Paris, Philadelphia and San Francisco. "We are proud to have listed with NASDAQ 10 years ago," said Ira Wagner, Chief Operating Officer. "Since then, we have built an institution with one of the best capabilities to originate, underwrite, finance, syndicate, monitor and exit alternative investments. In the past decade, American Capital and the funds it manages have invested approximately $24 billion in over 410 portfolio companies in virtually every industry. We have done this with the best market coverage and largest flow of investment opportunities in our industry and by demanding exacting investment discipline. American Capital has become the leading provider of sub-debt and equity to the middle market, and we have transformed that market." "American Capital has come a long way since we raised $155 million in our August 29, 1997 IPO," said John Erickson, Chief Financial Officer. "In June of this year, we raised $1 billion in equity in our largest equity offering since our IPO. Since we went public, through both our internally and externally managed funds, $9 billion of investments have been repaid and redeployed, we have raised $7 billion in equity and $10 billion in debt. Our multiple funding sources provide us with substantial liquidity and the lowest cost of capital in our industry. American Capital has one of the lowest levered balance sheets of any financial institution, at 0.8:1 debt to equity, which gives us outstanding flexibility to invest throughout economic cycles." "The occasion of our 10th anniversary as a public company serves as recognition of the strengths of our business model, our organization and the quality of American Capital's employees," said Samuel Flax, General Counsel. "Our corporate and reporting structure makes us a leader in good corporate governance and accurate financial reporting. Our independent board and use of a third party valuation firm provide important confirmation of the quality of our assets and balance sheet and our ability to maintain investment discipline. We strongly believe that our commitment to best practices and corporate integrity is vital to our long-term success and to maximizing the value of American Capital for our shareholders." ABOUT AMERICAN CAPITAL American Capital is the only alternative asset management company that is a member of the S&P 500. With $17 billion in assets under management(1), including its investments in externally managed funds, American Capital is the largest U.S. publicly traded private equity fund and one of the largest publicly traded alternative asset managers. American Capital, both directly and through its global asset management business, is an investor in management and employee buyouts, private equity buyouts, and early stage and mature private and public companies. American Capital provides senior debt, mezzanine debt and equity to fund growth, acquisitions, recapitalizations and securitizations. American Capital and its affiliates invest from $5 million to $800 million per company in North America and euro 5 million to euro 500 million per company in Europe. Companies interested in learning more about American Capital's flexible financing should contact Mark Opel, Senior Vice President, Business Development, at (800) 248-9340, or visit http://www.americancapital.com/ or http://www.europeancapital.com/. (1)Assets Under Management is an estimate of internally and externally managed assets as of July 31, 2007 and does not include any fair value adjustments subsequent to June 30, 2007. Performance data quoted above represents past performance of American Capital. Past performance does not guarantee future results and the investment return and principal value of an investment in American Capital will likely fluctuate. Consequently, an investor's shares, when sold, may be worth more or less than their original cost. Additionally, American Capital's current performance may be lower or higher than the performance data quoted above. This press release contains forward-looking statements. The statements regarding expected results of American Capital 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, national or international economic conditions, or changes in the conditions of the industries in which American Capital has made investments. DATASOURCE: American Capital Strategies CONTACT: Brian Maney, Director, Corporate Communications of American Capital Strategies, +1-301-951-6122 Web site: http://www.americancapital.com/

Copyright