American Capital, Ltd. - The Wait Should Almost Be Over...
Mark Zusy • 27 Comments
Mark Zusy • 27 Comments
Understanding American Capital's 2014 Annual Results
Jaded Consumer • 20 Comments
Jaded Consumer • 20 Comments
Thu, Nov. 3, 5:05 PM
Wed, Aug. 3, 8:11 AM
- Q2 core EPS of $0.39 vs. $0.37 in Q1 and $0.37 a year ago. Net investment income of $105.3M or $0.34 per share vs. $112.7M and $0.36 in Q1, $108.5M and $0.35 a year ago. Dividend is $0.38.
- Net asset value per share of $16.62 vs. $16.50 in Q1 and $16.46 at start of year. Stock closed last night at $15.12.
- Gross commitments during quarter of $539.9M; exits of $758.8M.
- Weighted average yield on total investments at amortized cost of 8.9% down 30 bps on the quarter, down 80 bps on the year.
- American Capital (NASDAQ:ACAS) purchase could be completed as soon as early in Q4.
- CC at 12 ET
- Previously: Ares Capital beats by $0.01, misses on revenue (Aug. 3)
- ARCC flat premarket
Wed, Aug. 3, 6:10 AM
Fri, Jul. 22, 8:56 AM
- The team already had a Buy rating on the stock, but now names the BDC at a Top Pick, in part thanks to the potential positive catalysts from the American Capital (NASDAQ:ACAS) purchase.
- Ares Capital (NASDAQ:ARCC) closed last night at $14.92, up 4.7% YTD, but down 9.5% Y/Y. The current quarterly dividend of $0.38 per share equates to a 10.2% annualized yield.
Thu, Jun. 2, 10:19 AM
- In kind of exactly the kind of sizable deal it hopes to do more of after acquiring American Capital (NASDAQ:ACAS), Ares Capital (NYSE:ARES) is leading the financing for a $1.075B unitranche credit facility in support of Thoma Bravo's purchase of Qilk Techologies.
- Other lead joint arrangers include Golub Capital (NASDAQ:GBDC).
Mon, May 23, 8:05 AM
- American Capital (NASDAQ:ACAS) shareholders will receive $6.41 per share in cash plus 0.483 shares of Ares Capital (NASDAQ:ARCC) for each share of ACAS they own - a total of $13.75 per share at current prices. As part of the deal, Ares Management (NYSE:ARES) is providing financial support, will pay $275M in cash, or $1.20 per share to America Capital shareholders, and has agreed to waive up to $100M in fees over the ten quarters following the close.
- The deal is expected to be immediately accretive to ARCC core EPS, with potential for boosted dividends over time. It's also expected to boost NAV per share between the first and second full years after closing, and beyond.
- An owner of 14.4% of American Capital, Elliot Management is fully supportive of the deal. It's expected to close within the next 12 months.
- Conference call at 8:30 ET.
- Stocks are all halted from trade at the moment.
- Previously: Ares Capital buying American Capital; American Capital Agency internalizing manager (May 23)
Mon, May 23, 7:52 AM
- American Capital (NASDAQ:ACAS) owners will receive about $3.43B in cash and ARCC common stock consideration, or $14.95 per share.
- In addition, American Capital is selling the manager of American Capital Agency (NASDAQ:AGNC) to American Capital Agency for $562M, or $2.45 per share. Ares Management (NYSE:ARES) will help finance the deal.
- Together, American Capital shareholders are getting $17.40 in value for each share they own vs. Friday's close of $15.62.
- A conference call is set for 8:30 ET.
Fri, May 20, 2:24 PM
- MW Acquisition Corporation was sold to a portfolio company of KKR. Proceeds to American Capital (NASDAQ:ACAS) were $97M. Over the life of the investment which began in 2006, American Capital realized a 28% compounded annual ROE. Adding in its debt investments, ACAS earned an annualized rate of return of 22%.
Mon, May 16, 3:07 PM
- American Capital (NASDAQ:ACAS) and an affiliate invested in the One Stop Buyout of Pacific Handy Cutter in Dec. 2006. With Pacific's sale to Levine Leichtman, American Capital is out, generating a compounded annualized rate of return of 9.8%.
Wed, May 11, 3:13 PM
- Portfolio company SEHAC Holdings was sold to a subsidiary of Canada's Enercare for $340.75M in cash. Proceeds to American Capital (ACAS -0.3%) are $244M, and a realized capital gain of $225M.
- Over hte lift of the investment (since 2013), American Capital generated a compounded annual return of 184%, and realized 18x its initial outlay.
Fri, May 6, 5:04 PM
- American Capital (NASDAQ:ACAS): Q1 EPS of $0.31 beats by $0.03.
- Revenue of $162M (+5.2% Y/Y) beats by $29.9M.
Fri, Apr. 1, 11:04 AM| Fri, Apr. 1, 11:04 AM
Mon, Mar. 21, 2:54 PM
Thu, Mar. 17, 5:44 PM
- Gary Kain, formerly the chief investment officer of American Capital (NASDAQ:ACAS) managed funds American Capital Agency (NASDAQ:AGNC) and American Capital Mortgage (NASDAQ:MTGE). In addition, director Al Puryear has been named non-executive chairman for both AGNC and MTGE. (PRs: AGNC, MTGE)
- In each case, Kain and Puryear are replacing ACAS chairman/CEO Malon Wilkus, who is also leaving AGNC and MTGE's boards. Wilkus, who is maintaining his position at ACAS, provides a similar quote for each company's PR. From the MTGE PR: "Now it's come time for me to hand over the CEO position to Gary Kain. Gary has headed the company's operations and outstanding investing activities since its founding and there is nobody better qualified than Gary to lead the company into the future and to contribute to the company's Board."
- MTGE has also declared its regular $0.40/share quarterly dividend (11% yield), and disclosed it has bought back 2M shares (4.2% of outstanding shares as of Dec. 31) in Q1 at an average price of $13.19. MTGE adds it has bought back 13.7M shares since Q4 2012 at a cost of $244.9M.
- The management shakeup comes after activist Elliott Management took a 10%+ stake in ACAS.
Wed, Feb. 17, 7:31 AM
- Q4 NOI of $61M or $0.24 per share vs. $75M and $0.28 in Q3.
- Net asset value per share of $19.88 vs. $20.44 three months earlier. Last night's close of $12.60 is a 36.6% discount to book.
- 20.7M shares (8% of the float) bought back for $298M, an average price of $14.44 each. For the year, the company repurchased 13.8% of the float, adding $0.75 to book value per share.
- The company mostly liquidated its senior floating rate loan portfolio during quarter, and paid down the associated $1.3B in debt. Much of the rest of the cash went to buying back stock.
- There won't be an earning call thanks to the ongoing strategic review and sales process.
- Previously: American Capital misses by $0.07, beats on revenue (Feb. 17)
- ACAS flat premarket
Wed, Feb. 17, 7:12 AM
- American Capital (NASDAQ:ACAS): Q4 EPS of $0.24 misses by $0.07.
- Revenue of $173M (+9.5% Y/Y) beats by $3.7M.