BETHESDA, Md., Aug. 23 /PRNewswire-FirstCall/ -- American
Capital Ltd. (Nasdaq: ACAS) announced today that on July 29 its portfolio company Narus was acquired
by Boeing. American Capital received $12 million in proceeds and realized a gain of
$3 million during the third quarter
from the transaction, subject to post-closing adjustments.
American Capital's compounded annual rate of return earned
over the life of its investment was 7%. The proceeds received
by American Capital were less than the second quarter 2010
valuation of the investment by $2
million, or 13%. Including investments in Narus by
American Capital's affiliated funds under management, the total
proceeds received during the third quarter from the transaction
were $21 million, realizing a gain of
$5 million, subject to post-closing
adjustments.
Narus is a leading provider of real-time network traffic and
analytics software used to protect against cyber attacks and
persistent threats aimed at large Internet Protocol networks.
Headquartered in Sunnyvale,
California, the company employs approximately 150 people.
American Capital and its affiliates made an initial direct
investment of $13 million in Narus in
October 2006 and provided subsequent
financing for growth and working capital. American Capital's
initial investment took the form of convertible preferred equity.
For more information about American Capital's investment in
Narus, please go to
http://www.americancapital.com/our_portfolio/companies/narus.html.
Since American Capital's August
1997 IPO through the second quarter of 2010, the company has
earned a 12% compounded annual return, including interest,
dividends, fees and net gains, on 299 realizations of senior debt,
subordinated debt and equity investments, totaling $14 billion of committed
capital. These realizations represent 58% of all amounts
invested by American Capital since its August 1997 IPO. Proceeds from these
realizations exceeded the total associated prior quarter valuation
of the investments by less than 1%. American Capital earned a
26% compounded annual return on the exit of its equity investments,
including dividends, fees and net gains.
For a chart showing American Capital's exited portfolio
companies, please go to
http://www.americancapital.com/our_portfolio/exited.html.
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. Founded in 1986,
American Capital has $15 billion in
capital resources under management and eight offices in the U.S.,
Europe and Asia. American Capital and its
affiliates will consider investment opportunities from $5 million to $100 million. For further
information, please refer to www.AmericanCapital.com.
ABOUT BOEING DEFENSE, SPACE & SECURITY
A unit of The Boeing Company, Boeing Defense, Space &
Security is one of the world's largest defense, space and security
businesses specializing in innovative and capabilities-driven
customer solutions, and the world's largest and most versatile
manufacturer of military aircraft. Headquartered in
St. Louis, Boeing Defense, Space
& Security is a $34 billion
business with 68,000 employees worldwide.
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.
Contact:
|
|
Miles Arnone, Managing Director,
Technology Group – (508) 598-1100
|
|
Investors - (301)
951-5917
|
|
|
SOURCE American Capital Ltd.
Copyright . 23 PR Newswire