FOR IMMEDIATE RELEASE:
31 July 2007

Contact
Giles Cheek, Director, European Capital Financial Services +44 (0)20 7539 7000
Brian Maney, Director, Corporate Communications   +1 (301) 951-6122

EUROPEAN CAPITAL REFINANCES £144.5 MILLION IN CREDIT FACILITIES OF HILLARYS BLINDS

London – 31 July 2007 – ECAS S.a.r.l, a wholly-owned subsidiary of European Capital Limited (“European Capital”) (LSE: ECAS), announced today that on 21 June it completed the refinancing of £144.5 million (€214 million) in senior secured credit facilities of portfolio company Hillarys Blinds Limited.  Following the refinancing, European Capital holds a £85 million (€125 million) investment in Hillarys Blinds, consisting of equity, a loan note and mezzanine debt.  American Capital Strategies Ltd. (“American Capital”) (Nasdaq: ACAS), an affiliate of European Capital, holds a £7 million (€10 million) investment in Hillarys Blinds, consisting of equity, a loan note and mezzanine debt.

On 5 June, European Capital invested £229 million (€337 million) and American Capital invested £5 million (€7 million) in the One Stop Buyout™ of Hillarys Blinds from Change Capital Partners LLP.  On 21 June, as part of the refinancing, American Capital made an additional £2 million (€3 million) in the mezzanine debt of Hillarys Blinds.

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.

For more information about European Capital’s original investment in Hillarys, click here.

ABOUT EUROPEAN CAPITAL

European Capital is a publicy traded 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 at + 44 (0)20 7539 7000 in London, Jean Eichenlaub at + 33 (0)1 40 68 06 66 in Paris, Robert von Finckenstein at +49 (0) 69 71 71 297-0 in Frankfurt, or Luis Felipe Castellanos at +(34) 91 745 99 63 in Madrid, or visit the website at www.EuropeanCapital.com.

ABOUT AMERICAN CAPITAL

American Capital Strategies Ltd. is an affiliate of European Capital and the only alternative asset management company that is a member of the S&P 500.  With $15 billion in assets under management¹, American Capital is the largest U.S. publicly traded private equity fund and one of the largest publicly traded alternative asset managers.  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.

¹Includes internally and externally managed assets at fair value as of 3/31/07, including our investments in externally managed funds, plus investments at cost through 6/30/07 and less repayments through 6/30/07.

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.