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American Capital Invests $33 Million in Acquisition by CCS Medical
Bethesda, MD - July 7, 2004 - American Capital Strategies Ltd. (Nasdaq:ACAS) announced today it has invested $33 million in its portfolio company Chronic Care Solutions Inc., doing business as CCS Medical ("CCS Medical"), to support CCS Medical's acquisition of the Pharmacy and Supply Division of Matria Healthcare Inc. (Nasdaq: MATR). American Capital's investment takes the form of subordinated debt and preferred equity. American International Group Inc. (NYSE: AIG) also invested in subordinated debt. KRG Capital Partners, CMS Companies, First Analysis Corporation and CCS Medical management invested in preferred equity, and KRG Capital Partners maintains its majority ownership of CCS Medical. The transaction was also financed with an increase in the CCS senior credit facilities. CCS Medical is a leading direct-to-consumer provider of medical supplies to patients suffering from chronic conditions. [more...]