Navigation Links
American Capital Receives $182 Million In Proceeds From Sale of Axygen Bioscience
Date:9/16/2009

BETHESDA, Md., Sept. 16 /PRNewswire-FirstCall/ -- American Capital Ltd. (Nasdaq: ACAS) announced today that on September 15, it completed the sale of its portfolio company Axygen BioScience Inc., including its subsidiaries Axygen Inc. and Sorenson BioScience Inc., to Corning Incorporated for approximately $400 million. The total inception to date gain and income, including dividend and fee income, from the equity invested by American Capital's affiliated funds under management was $102 million, representing a 25% compounded annual rate of return. American Capital received $182 million in proceeds and realized a gain of $35 million from the transaction, subject to post-closing adjustments. American Capital's total inception to date realized gains on this investment were $36 million and its compounded annual rate of return, including interest and fees earned over the life of its investment was 22%. Including investments in Axygen BioScience by American Capital's affiliated funds under management, the inception to date realized gains were $61 million and the compounded annual rate of return was 22%. The proceeds received by American Capital were less than the second quarter 2009 valuation of the investment by $1 million, or less than 1%.

"Since the beginning of the fourth quarter of 2008, we've received approximately $875 million of proceeds from realizations of portfolio investment repayments and exits, including over 20 exits of portfolio companies," said Darin Winn, Senior Vice President and Senior Managing Director. "We are particularly pleased that all of our exits of control companies have been at enterprise multiples equal to or higher than our entry multiples."

Axygen BioScience is a leading manufacturer and distributor of high quality life sciences plastic consumables, liquid handling products and bench-top laboratory equipment.

"Over our three year investment in Axygen Bioscience, we have developed a great partnership with the management team and assisted in adding value to the company, enabling it to surpass its competition through growth and acquisitions," said Frank Do, Managing Director, Buyouts. "We are extremely proud of the company's improvements and success, which made it an attractive purchase for Corning Incorporated. The $35 million gain and 22% return on the Axygen Bioscience investment is an outstanding outcome for American Capital and its shareholders and a testament to our investment and exit strategies."

"The last few years have been exciting and rewarding for Axygen Bioscience and we are happy to have been a part of its success. The company successfully completed and integrated strategic acquisitions and partnerships, recorded robust financial performance and successfully launched new products," said Kimberly Reed, Principal, Buyouts. "We believe that moving forward, Corning's operational and financial support will enable Axygen Bioscience to secure a leading position in its industry."

American Capital invested in the One Stop Buyout(TM) of Axygen Inc. in September 2006. American Capital's investment took the form of a revolving credit facility, senior term loan, senior and junior subordinated debt and equity. In a series of transactions from November 2008 through March 2009, a new holding company, Axygen BioScience, was formed to include Axygen, Sorenson BioScience and Articles De Laboratoire De Precision (ALP). For more information about American Capital's original investment in Axygen, please go to http://www.americancapital.com/our_portfolio/companies/axygen.html.

Since American Capital's August 1997 IPO through the second quarter of 2009, the company has earned a 15% compounded annual return, including interest, dividends, fees and net gains, on 264 realizations of senior debt, subordinated debt and equity investments, totaling $12 billion of committed capital. These realizations represent 49% of all amounts invested by American Capital since its August 1997 IPO. Proceeds from these realizations exceeded the total associated prior quarter valuation of the investments by less than 1%. American Capital earned a 30% compounded annual return on the exit of its equity investments, including dividends, fees and net gains.

For a chart showing American Capital's exited portfolio companies, please go to http://www.americancapital.com/our_portfolio/exited.html.

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 $11 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 June 30, 2009.

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:
    Frank Do, Managing Director, Buyouts - (310) 806-6280
    Kimberly Reed, Principal, Buyouts - (310) 806-6280
    Brian Martin, Vice President, Buyouts - (310) 806-6280
    Matthew Frankel, Vice President, Buyouts - (310) 806-6280
    Media - (301) 968-9400


'/>"/>
SOURCE American Capital Ltd.
Copyright©2009 PR Newswire.
All rights reserved

Related biology technology :

1. Vicus Therapeutics to Present at the 234th American Chemical Society National Meeting in Boston, MA
2. SportCoatings; The North American Booster Club Association (NABCA); the Coatings Specialist Group New Booster Program Goes High Tech With Invisible Antimicrobial Defense
3. American Stock Exchange Lists The Common Stock Of Neuralstem, Inc.
4. American Oriental Bioengineering Announces Participation in September Investor Conferences
5. Nektar Presents Positive Results from Phase 1 Clinical Trial of NKTR-118 (oral PEG-naloxol) at American College of Clinical Pharmacology Meeting
6. Rosetta Genomics to Present at the American Association of Cancer Research (AACR) "Molecular Diagnostics in Cancer Therapeutic Development" Conference
7. Tips from the Journals of the American Society for Microbiology
8. Trubion Pharmaceuticals Announces Upcoming Presentations at American College of Rheumatology Annual Scientific Meeting
9. Americas Heartland Launches Third Season Highlighting Contributions of American Farmers and Ranchers
10. American and European Parkinsons Sufferers Find Chinese Stem Cell Treatment Effective, Proving Western Debates Moot
11. AUDIO from Medialink and Pfizer: Hispanic Heritage Month Reminds Us Increasing Numbers of Hispanic-Americans Do Not Have Health Insurance
Post Your Comments:
*Name:
*Comment:
*Email:
(Date:6/27/2016)... ... June 27, 2016 , ... Parallel 6 , the leading software as ... Clinical Reach Virtual Patient Encounter CONSULT module which enables both audio and video ... trial team. , Using the CONSULT module, patients and physicians can schedule a face ...
(Date:6/24/2016)... on a range of subjects including policies, debt and investment ... Speaking at a lecture to the Canadian Economics ... the country,s inflation target, which is set by both the ... "In certain areas there needs to be frequent ... not sit down and address strategy together?" He ...
(Date:6/23/2016)... ... June 23, 2016 , ... UAS ... the launch of their brand, UP4™ Probiotics, into Target stores nationwide. The company, ... proud to add Target to its list of well-respected retailers. This list includes ...
(Date:6/23/2016)... ... June 23, 2016 , ... Charm ... Mold) microbial test has received AOAC Research Institute approval 061601. , “This is ... last year,” stated Bob Salter, Vice President of Regulatory and Industrial Affairs. “The ...
Breaking Biology Technology:
(Date:4/15/2016)... April 15, 2016 Research ... Gait Biometrics Market 2016-2020,"  report to their offering.  ... ) , ,The global gait biometrics market is ... during the period 2016-2020. Gait analysis ... can be used to compute factors that are ...
(Date:3/31/2016)... , March 31, 2016  Genomics firm Nabsys ... founding CEO, Barrett Bready , M.D., who returned ... of the original technical leadership team, including Chief Technology ... of Product Development, Steve Nurnberg and Vice President of ... to the company. Dr. Bready served as ...
(Date:3/22/2016)... OTTAWA, Ontario , PROVO ... 2016 Newborn Screening Ontario (NSO), which operates ... for molecular testing, and Tute Genomics and ... process management technology respectively, today announced the launch of ... new next-generation sequencing (NGS) testing panel. ...
Breaking Biology News(10 mins):