American Capital Plans Strategic Review; Expands Share Buyback - Quick Facts

(RTTNews) - American Capital, Ltd. (ACAS) said its board of directors has instructed the company to undertake a full strategic review of all alternatives, with Goldman Sachs & Co. and Credit Suisse Securities (USA) LLC as its financial advisors to assist in this review. The company expects to disclose publicly the initial results of its strategic review by January 31, 2016.

The company's strategic review will consider all alternatives for maximizing shareholder value, including a sale of the company or its various business lines in whole or in part. The strategic review will be run by an independent committee of the Board consisting of Neil Hahl, Kristen Manos, Kenneth Peterson and David Richards and will be chaired by Hahl.

The company also said that its board has revised and expanded its current stock buyback program, which began in the third quarter of 2015, by increasing it to a range of $600 million to $1 billion from the prior range of $300 million to $600 million.

Under the program, the company will make purchases only at per share prices below 85% of the company's net asset value per share as of September 30, 2015.