ACAS American Capital, Ltd.

BETHESDA, Md., Nov. 27 /PRNewswire-FirstCall/ -- American Capital Strategies Ltd. (NASDAQ:ACAS) announced today that it has invested in the One Stop Buyout(TM) of Dynojet Research Inc., a developer of after-market performance products and diagnostic tools for the motorcycle and automotive industries. American Capital's investment takes the form of a senior term loan, senior subordinated debt and convertible preferred and common equity. American Capital is also providing a revolving credit facility. Dynojet management is investing equity in the Company. Dynojet was a portfolio company of Graham Partners prior to American Capital's investment. "For the past 35 years, Dynojet has been a pioneer in product development in the motorcycle and automotive industries and we are excited to add this innovative company to our portfolio," said Darin Winn, American Capital Regional Managing Director. "Our one-stop financing capabilities and intensive and focused internal due diligence resources allowed us to quickly complete this investment." American Capital has invested directly and through its funds under management approximately $11 billion in the last twelve months, approximately $9.9 billion year to date and approximately $1.5 billion quarter to date. Not including funds under management, American Capital has invested approximately $8.1 billion in the last twelve months, approximately $7.3 billion year to date and approximately $1.3 billion quarter to date. For more information about American Capital's portfolio, go to http://www.acas.com/our_portfolio/our_portfolio.html. "Dynojet is the clear leader in its industry, commanding number one market share in practically every category in which it competes," said Frank Do, American Capital Managing Director. "The team at Dynojet has built the most recognized brand name in the market for fuel management products and dynamometers, which are devices that measure engine performance. Furthermore, under the leadership of President and CEO Robert Vlcek, the Company has expanded its target markets, augmented its product portfolio and achieved robust financial performance." "Dynojet competes in an attractive industry with strong growth trends in the motorcycle parts and accessories market driven by favorable demographics, an increasing installed base of motorcycles and the conversion from carburetion to electronic fuel-injection fuel management. Dynojet's strong market position and ability to quickly develop new products bode well for the Company and will enable it to meet anticipated market demands," said Brian Martin, American Capital Vice President. Established in 1972 and based in Las Vegas, Dynojet is a research and development company, employing over 160 people in Montana, Nevada, Holland, Germany and England. Dynojet provides aftermarket performance enhancing parts and accessories, diagnostic equipment and software for the motorcycle, power sports and automotive markets. The Company's customer base totals over 9,450 dealers, service and repair shops, alternative distributors and racing teams. "We are pleased with American Capital's investment in Dynojet," said Robert Vlcek, President and CEO, Dynojet. "American Capital's ability to fund the entire transaction and the dedicated team in the Los Angeles office makes working with American Capital quick and effective. I look forward to Dynojet's continued innovation and excellence with help from American Capital." ABOUT AMERICAN CAPITAL American Capital is the only alternative asset management company in the S&P 500. With $19 billion in capital resources under management, 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. As of October 31, 2007, American Capital shareholders have enjoyed a total return of 607% since the Company's IPO, an annualized return of 21%, assuming reinvestment of dividends. American Capital has paid a total of $1.9 billion in dividends and paid or declared $26.16 dividends per share since going public in August 1997 at $15 per share. 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/. 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 Ltd. CONTACT: Frank Do, Managing Director, +1-310-806-6280, or Brian Martin, Vice President, +1-310-806-6280, or Brian Maney, Director, Corporate Communications, +1-301-951-6122, all of American Capital Strategies Ltd. Web site: http://www.americancapital.com/ http://www.acas.com/our_portfolio/our_portfolio.html http://www.europeancapital.com/

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