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American Capital Invests $19 Million in Combination of Two Leading Kayak Manufacturers

Bethesda, MD - May 18, 2005 - American Capital Strategies Ltd. (Nasdaq:ACAS) announced today it has invested an additional $19 million in its portfolio company Confluence Holdings Corp. to support the acquisition of the water sports business assets of Watermark Paddlesports Inc. Confluence is a leading manufacturer and distributor of kayaks, canoes and paddlesports accessories. American Capital's new investment takes the form of a senior term loan and senior subordinated debt. In addition to the new investment, American Capital owns senior subordinated debt, junior subordinated debt, junior unsecured subordinated debt and equity. American Capital's total current investment in Confluence is $61 million. GMAC Commercial Finance LLC is providing a revolving credit facility. Following the transaction, American Capital owns approximately 95% of Confluence on a fully diluted basis. More...

Coming Together The Confluence of Wilderness Systems and Mad River Canoe

As Americas interest in paddle sports grows, two companies are combining a passion for water adventure with an innovative and entrepreneurial approach to the design and manufacturing of canoes and kayaks. Wilderness Systems Inc., the third largest U.S. manufacturer of kayaks, and Mad River Canoe, Inc., the country's second largest canoe company, teamed up in October 1998 to form Confluence Holdings Corp. The merger was sponsored by a team of equity investors led by Westbury Capital Partners and financed by American Capital (NASDAQ Symbol: ACAS), a buyout and specialty finance company based in Bethesda, MD. The new company will offer one of the industrys most comprehensive lines of paddle sports products, including canoes, kayaks and all the accessories. More...

American Capital Invests $18 Million in Consolidation of Wilderness Systems and Mad River Canoe

BETHESDA, Md., Oct. 6 /PRNewswire/ -- American Capital (Nasdaq: ACAS - news) announced today $18 million of investment and financial commitments to fund the consolidation of the businesses of Wilderness Systems, Inc., the third largest U.S. manufacturer of kayaks, and Mad River Canoe, Inc., the second largest U.S. manufacturer of canoes. A newly created company, Confluence Holdings Corp. will operate the two businesses separately, retaining their well-established brands. American Capital completed the financing on September 30, 1998 and Confluence Holdings completed the business consolidation on October 5, 1998. Westbury Capital Partners, L.P. of Westbury, Long Island served as the lead equity investor. Additional equity sponsors included principals of Lochridge & Company and executives from Mad River Canoe and Wilderness Systems. More...