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Press release from PR Newswire

American Capital Announces Proposed Refinancing of $600 Million Senior Secured Credit Facility

Wednesday, July 31, 2013

American Capital Announces Proposed Refinancing of $600 Million Senior Secured Credit Facility

13:37 EDT Wednesday, July 31, 2013

BETHESDA, Md., July 31, 2013 /PRNewswire/ -- American Capital, Ltd. (Nasdaq: ACAS) announced today that it is launching a refinancing of its $600 million senior secured credit facility ($450 million after the scheduled August 22, 2013 amortization payment).  The proposed refinancing is expected to include changes to the pricing terms of the existing credit facility to reflect more favorable current market pricing, a six month extension of the call protection period for lenders from the effective date and amendments to certain covenants.  Further details of the proposed refinancing will be provided to potential participants at a lender meeting to be held on August 1, 2013, in New York, NY.

The entry into the refinancing will be contingent upon, among other things, a successful syndication and the satisfaction of conditions precedent to the definitive documentation. The terms of the refinancing could be materially different than described above and no assurances can be given that the refinancing will be consummated.

J.P. Morgan Securities LLC will be joint lead arranger and joint bookrunner on the transaction.

ABOUT AMERICAN CAPITAL American Capital, Ltd. (Nasdaq: ACAS) 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, energy & infrastructure and structured products.  American Capital manages $21 billion of assets, including assets on its balance sheet and fee earning assets under management by affiliated managers, with $119 billion of total assets under management (including levered assets).  Through an affiliate, American Capital manages publicly traded American Capital Agency Corp. (Nasdaq: AGNC) with approximately $10 billion of net book value and American Capital Mortgage Investment Corp. (Nasdaq: MTGE) with approximately $1 billion of net book value.  From its eight offices in the U.S. and Europe, American Capital and its affiliate, European Capital, will consider investment opportunities from $10 million to $750 million.  For further information, please refer to www.AmericanCapital.com.

FORWARD LOOKING STATEMENTSThis press release contains forward-looking information and statements, including but not limited to the potential refinancing of the Company's existing secured debt. 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, including in particular the Company's ability to complete, on terms satisfactory to the Company, the negotiations relating to the proposed amended credit facility. 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:Investors ? (301) 951-5917

SOURCE American Capital, Ltd.

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