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NEWS
European Capital logo
25 Bedford Street
London WC2E 9ES
+44 (0)20 7539 7000
+44 (0)20 7539 7001 Fax
Info@EuropeanCapital.com
www.EuropeanCapital.comFOR IMMEDIATE RELEASE:
June 6, 2007
Contact
Giles Cheek, Director, European Capital Services +44 (0)20 7539 7000
Fergus Hall, Investment Director, European Capital Services +44 (0)20 7539 7000
Brian Maney, Director, Corporate Communications +1 (301) 951-6122
EUROPEAN CAPITAL INVESTS €337 MILLION IN ONE STOP BUYOUT™ OF
HILLARYS BLINDS
London - June 6, 2007 - European Capital S.A. SICAR, a wholly-owned subsidiary of European Capital Limited (LSE: ECAS), announced today that it has invested €337 million ($454 million) in the One Stop Buyout™ of Hillarys Blinds Limited from Change Capital Partners LLP. Hillarys is the UK’s leading provider of made-to-measure window blinds. European Capital’s investment takes the form of equity, loan notes, mezzanine debt and senior term loans. Hillarys management is investing in equity and loan notes. Post close, European Capital owns approximately 52% of the Company on a fully-diluted basis.
“This is European Capital’s seventh One Stop Buyout™ and the fourth led by our London office. We have again demonstrated our ability to quickly conduct thorough due diligence and close a transaction in a timely manner by providing all of the capital for the transaction,” said Ira Wagner, President of European Capital Financial Services Limited ("European Capital Services"), the sub-investment manager of European Capital, and Chief Operating Officer of American Capital Strategies, Ltd. “We will be refinancing the senior debt in the transaction very quickly".
European Capital has invested approximately €1.6 billion ($2.2 billion) in the last twelve months, €764 million ($1 billion) year to date and €498 million ($670 million) quarter to date. For more information about European Capital’s portfolio, click here.
“We are investing in a rapidly growing company that already has a commanding share of the growing made-to-measure segment of the blinds market," said Giles Cheek, European Capital Director. “We are also supporting a very strong management team that has the knowledge and drive to build further on this excellent platform.”
“The scale of Hillarys’ business is such that it facilitates cost leadership and high margins, while also offering excellent value for money to its customers,” said Fergus Hall, European Capital Investment Director. “The in-home sales, measuring and fitting service that Hillarys delivers to its customers through its advisor network is an outstanding consumer proposition, which has increasingly underpinned the Company’s growth in an ever more service oriented market.”
Founded in 1971, Hillarys is the leading provider of made-to-measure (MTM) blinds in the UK. The Company’s wide range of MTM products includes roman, venetian, roller and vertical blinds. It also provides specialist products including conservatory blinds, shutters and awnings. Hillarys sells direct to consumers through a direct sales force and the web, to trade customers under the brand name Arena and to non-residential commercial customers through a separate division, Hcd. Hillarys is headquartered in Nottingham, UK and has assembly facilities in Nottingham and Washington, UK. It employs over 1000 people and also has a team of over 900 self-employed sales advisors.
“We are delighted that European Capital is investing in Hillarys,” said John Risman, Hillarys Blinds CEO. “European Capital quickly understood the strengths of the business and the numerous avenues for future growth and assembled an unbeatable financing package.”
“We are proud of what we have been able to achieve with Hillarys,” said Steven Petrow, Change Capital Partners Managing Director. “We have successfully sold a fantastic company with a great management team and excellent growth prospects. We identified early on several opportunities to improve the Hillarys business and to further strengthen the Company’s position as market leader and are pleased to have been able to support management in delivering the improvements.”
ABOUT EUROPEAN CAPITAL
European Capital is a closed-end investment company for pan-European equity, mezzanine and senior debt investments with capital resources of approximately €2.1 billion ($2.9 billion). European Capital invests in and sponsors management and employee buyouts, invests in private equity buyouts and provides capital directly to private and public companies headquartered predominantly in Europe. European Capital generally invests between €5 million and €500 million per transaction in equity, mezzanine debt and senior debt to fund growth, acquisitions and recapitalizations.
Companies interested in learning more about European Capital's flexible financing should contact Simon Henderson or Nathalie Faure Beaulieu in London at + 44 (0)20 7539 7000, Jean Eichenlaub at + 33 (0)1 40 68 06 66 in Paris, or Robert von Finckenstein at +49 (0)69 7171 2970 in Frankfurt or visit the website at
www.EuropeanCapital.com.
ABOUT AMERICAN CAPITAL
American Capital Strategies Ltd. (Nasdaq: ACAS), an affiliate of European Capital, is the second largest U.S. publicly traded alternative asset manager with approximately $11 billion in assets under management (second to Fortress (NYSE: FIG)). American Capital, both directly and through its global asset management business, is an investor in management and employee buyouts, private equity buyouts, and early stage and mature private and public companies. American Capital provides senior debt, mezzanine debt and equity to fund growth, acquisitions, recapitalizations and securitizations. American Capital and its affiliates invest from $5 million to $800 million per company in North America and €5 million to €500 million per company in Europe.
This press release contains forward-looking statements. The statements regarding expected results of European Capital and/or 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 European Capital and/or American Capital has made investments.
This announcement is neither an offer to sell nor a solicitation to buy securities.
This announcement appears as a matter of record only.
HEADQUARTERS
Washington, DC*
2 Bethesda Metro Center
14th Floor
Bethesda, MD 20814
(301) 951-6122
(301) 654-6714 fax
Info@AmericanCapital.com
REGIONAL OFFICES
Chicago*
111 South Wacker Drive
Suite 4000
Chicago, IL 60606
(312) 681-7400
(312) 454-0600 fax
Dallas*
2200 Ross Avenue
Suite 4500W
Dallas, TX 75201
(214) 273-6630
(214) 273-6635 fax
Frankfurt
Taunusanlage 18
60325 Frankfurt am Main
+49 (0) 69 71 71 297 -0
+49 (0) 69 71 71 297-30 fax
London
25 Bedford Street
London WC2E 9ES
United Kingdom
+44 (0)207 539 7000
+44 (0)207 539 7001 fax
Los Angeles*
11755 Wilshire Blvd.
Los Angeles, CA 90025
(310) 806-6280
(310) 806-6299 fax
New York*
505 Fifth Avenue
26th Floor
New York, NY 10017
(212) 213-2009
(212) 213-2060 fax
Paris
55, Avenue Hoche
75008 Paris
France
+33 (0)1 40 68 06 66
+33 (0)1 40 68 06 88 fax
Palo Alto*
525 University Avenue
Suite 500
Palo Alto, CA 94301
(650) 289-4560
(650) 289-4570 fax
Philadelphia*
Three Hundred Four Falls, Suite 770
300 Conshohocken State Road
West Conshohocken, PA 19428
(610) 238-0210
(610) 238-0230 fax
San Francisco*
Three Embarcadero Center
Suite 2320
San Francisco, CA 94111
(415) 591-0120
(415) 591-0111 fax
*affiliated offices
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