American Capital Announces Acquisition of European Capital

BETHESDA, Md., March 30 /PRNewswire-FirstCall/ -- American Capital Ltd.
(Nasdaq: ACAS) announced today that it has completed the acquisition of the
shares of its affiliate European Capital Limited that it did not already own.
The shares had previously traded on the Main Market of the London Stock
Exchange. The acquisition was approved by a special majority of the
shareholders of European Capital, not including American Capital, and the
Royal Court of Guernsey. In February, American Capital stockholders had
approved the issuance of shares at a price below the stock's net asset value,
allowing the acquisition to proceed.

The acquisition was completed on March 26, 2009 by means of a scheme of
arrangement under Guernsey company law, which provided that each outstanding
European Capital ordinary share at the time of the acquisition (other than any
owned by American Capital or held in treasury) was acquired for 0.333 shares
of American Capital common stock. Prior to the transaction, American Capital
owned 67.7% of European Capital.

Malon Wilkus, American Capital Chairman and Chief Executive Officer said, "We
greatly appreciate the support shown by the shareholders of both European
Capital and American Capital in approving this transaction."

Citigroup Global Markets Limited, Slaughter and May and Arnold & Porter LLP
represented American Capital. Lexicon Partners Limited and Linklaters LLP
represented European Capital.

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.
Founded in 1986, American Capital has $14 billion(1) in capital resources
under management and ten offices in the U.S., Europe and Asia. For further
information, please refer to www.AmericanCapital.com.

(1) As of December 31, 2008.

Performance data quoted above represents past performance of American Capital.
Past performance does not guarantee future results and the investment return
and principal value of an investment in American Capital will likely
fluctuate. Consequently, an investor's shares, when sold, may be worth more
or less than their original cost. Additionally, American Capital's current
performance may be lower or higher than the performance data quoted above.

This press release contains forward-looking statements. The statements
regarding expected results of 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 American Capital has made
investments.

Contact:
Investors - (301) 951-5917
Media - (301) 968-9400

SOURCE American Capital Ltd.

Investors, +1-301-951-5917, or Media, +1-301-968-9400