BETHESDA, Md., Aug. 22, 2012 /PRNewswire/ -- American
Capital, Ltd. (Nasdaq: ACAS) ("American Capital" or the "Company")
announced today that it has completed the refinancing of all of its
recourse debt with a new four-year $600
million institutional term loan facility with J.P. Morgan
Chase Bank, N.A. as administrative agent and collateral
agent. J.P. Morgan Securities LLC, BMO Capital Markets Corp.
and UBS Securities LLC were joint lead arrangers and joint
bookrunners on the transaction. Citibank, N.A., Credit Suisse
Securities (USA) LLC and Goldman
Sachs Bank USA also served as
managing agents. In addition to repaying the existing
recourse debt, the proceeds will be used for working capital and
general corporate purposes.
The term loan facility is priced at LIBOR plus 4.25%, with a
LIBOR floor of 1.25%, and has a first lien on certain
non-securitized assets of the Company and a second lien on most of
its remaining non-securitized assets.
American Capital also announced that it has obtained a new
four-year $250 million senior secured
revolving credit facility with J.P. Morgan Chase Bank, N.A. as
administrative agent and collateral agent. J.P. Morgan
Securities LLC, BMO Capital Markets Corp. and UBS Securities LLC
were joint lead arrangers and joint bookrunners on the
transaction. Citibank, N.A., Credit Suisse Securities
(USA) LLC, Bank of America, N.A.
and Goldman Sachs Bank USA served
as managing agents. Draws on the revolving credit
facility will be used for working capital and general corporate
purposes.
The revolving credit facility has a three year revolving period
and may be expanded through additional commitments up to
$375 million. The revolving
credit facility is priced at LIBOR plus 3.75%, and has a first lien
on certain non-securitized loan assets of the Company and a second
lien on most of its remaining non-securitized assets.
"We are extremely pleased to announce our new term debt
financing and revolving credit facility," said Malon Wilkus, Chairman and CEO. "We
enjoyed strong demand and received the support of an excellent
roster of debt investors. These facilities increase our
capital availability and lower our interest cost, which will
enhance our ability to make attractive new investments."
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 manages $17 billion of
assets, including assets on its balance sheet and fee earning
assets under management by affiliated managers, with $100 billion of total assets under management
(including levered assets). From its 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.
This press release contains forward-looking information and
statements. 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. 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.