Main Street Capital Announces Follow-on Portfolio Investment

HOUSTON, June 23, 2011 /PRNewswire/ -- Main Street Capital Corporation (NYSE: MAIN) ("Main Street") announced today that it has completed a follow-on investment in an existing portfolio company totaling $7.0 million. Main Street's follow-on investment in Audio Messaging Solutions, LLC ("AMS") supported the acquisition of an industry competitor which significantly expands the company's customer base and service offering. The follow-on investment consists of $7.0 million in first lien secured debt with additional equity warrant participation. AMS now provides custom branded on hold messaging, auto attendant greetings, overhead music and digital signage services to its customers. In addition to the expansion of its customer base through this cash and equity transaction, AMS believes that the broader range of services offered by the acquired company provides enhanced cross-selling opportunities to existing AMS customers. This acquisition represents the Company's eleventh acquisition in the on hold messaging sector, making AMS one of the largest providers of those services in the United States. Current management of the acquired company will also become significant shareholders of AMS and serve in senior management positions in the combined company.

In addition to the follow-on portfolio investment discussed above, Main Street has invested $44.8 million since March 31, 2011 in six privately placed, interest-bearing debt securities with a weighted average effective yield of 11.6%.  These privately placed investments represent first lien and second lien secured debt investments and include companies operating in the oilfield services, environmental services, professional services, information services and entertainment industries.

ABOUT MAIN STREET CAPITAL CORPORATION

Main Street (www.mainstcapital.com) is a principal investment firm that primarily provides long-term debt and equity capital to lower middle market companies. Main Street's lower middle market investments are made to support management buyouts, recapitalizations, growth financings and acquisitions of companies that operate in diverse industry sectors and generally have annual revenues ranging from $10 million to $100 million.  Main Street seeks to partner with entrepreneurs, business owners and management teams and generally provides "one stop" financing alternatives within its lower middle market portfolio. Main Street also maintains a portfolio of privately placed secured, interest-bearing debt investments in middle market businesses that are generally larger in size than its lower middle market portfolio companies.

Contacts:
Main Street Capital Corporation
Todd A. Reppert, President and CFO
treppert@mainstcapital.com
713-350-6000

Dennard Rupp Gray & Lascar, LLC
Ken Dennard  |  ksdennard@drg-l.com
Ben Burnham |  bburnham@drg-l.com
713-529-6600

SOURCE Main Street Capital Corporation