Bethesda, MD - November 29, 2001 - American Capital Strategies Ltd. (Nasdaq:ACAS) announced today that it has invested $31 million in the senior debt of Numatics Inc., a leading manufacturer of pneumatic valves, air filters, regulators, lubricators and motion control products. Numatics is refinancing existing senior debt.
"American Capital is able to provide senior secured cash flow financing while banks have retreated from this kind of lending," said Chairman, President and CEO Malon Wilkus. "We've raised approximately $300 million in the past 12 months for just this kind of financing, so we stand ready, willing and able to invest in strong middle market companies."
"Numatics is a major player in a fragmented market with a highly diversified customer base," said American Capital Principal Mark Schindel. "Its seasoned management team has maintained the company's profitability in a difficult economic environment. Numatics will continue to take advantage of long term trends towards automation and the resulting need for pneumatic power in their markets."
Revenues at Highland, MI-based Numatics have increased at a compounded annual growth rate in excess of 7% over the past 10 years.
"American Capital's investment allows us to better manage our business in the current economic environment," said Numatics President and CEO John Welker.
Click here for more information about Numatics and the fluid power industry.
American Capital is a publicly traded buyout and mezzanine fund with capital resources in excess of $1 billion. American Capital is an equity partner in management and employee buyouts; invests in debt and equity of companies led by private equity firms, and provides capital directly to private and small public companies. American Capital funds growth, acquisitions and recapitalizations. American Capital has paid over $7.00 per share in dividends since going public in 1997.
Companies interested in learning more about American Capital's flexible financing and ability to provide senior debt, subordinated debt and equity should contact Mark Opel, Principal, at (800) 248-9340, or visit our website.This press release contains forward-looking statements. The statements regarding expected results of American Capital Strategies 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 or national economic conditions, or changes in the conditions of the industries in which American Capital has made investments.
