Downer & Company LLC

Downer & Company Advises on Sale of Kingway Inca-Clymer for American Capital


Boston, MA -- (ReleaseWire) -- 04/11/2007 -- Downer & Company, an international investment banking firm specializing in mid-market cross-border acquisition and divestiture advisory services, is pleased to announce that American Capital Strategies Ltd. (Nasdaq:ACAS) has completed the sale of its portfolio company, Kingway Inca-Clymer Holdings, Inc. (“Kingway”), to Unarco Material Handling, Inc. Downer & Company acted as sole financial advisor to Kingway Inca-Clymer on this transaction which closed on March 30, 2007.

Kingway was formed by American Capital Strategies through a roll-up of three leading regional rack companies: Kingway Material Handling in Atlanta, GA, Inca Metal Products in Dallas, TX, and Clymer Material Handling, near Toledo, OH. Unarco Material Handling, which is based in Springfield, TN, is owned by The Renco Group Inc.—a New York-based holding company. The combined company, to be operated under the Unarco name, is now firmly established as the second largest pallet rack manufacturer in the United States with the capability to produce an entire range of warehouse storage solutions.

This transaction is the second industrial racking transaction Downer & Company has completed in the last twelve months. In April 2006, Downer & Company sold Interlake Material Handling, owned by Brambles North America, Inc., to United Fixtures Company, Inc., a portfolio company of Wynnchurch Capital Ltd. Downer & Company has established itself as one of the leading advisors to Material Handling and Logistics Industry. “Significant M&A activity is taking place in the Material Handling Industry which has seen nearly a doubling of the number of transactions in each of the last two years,” said Michael Howell, Vice President and Material Handling practice leader with Downer & Company. “We have been active participants in the consolidation of the racking segment of the market which will strengthen rack manufacturers, eliminate excess capacity and improve long-term market conditions.”

This is also the second divestiture Downer & Company has completed for American Capital in the past six months, having assisted on the sale of Precitech, Inc., to Ametek, Inc., in November 2006. Precitech, based in Keene, NH, is a leading designer and manufacturer of specialty ultra-precision diamond machining systems for the nanotechnology, military, defense, and ophthalmic markets.

The Downer & Company transaction team for the Kingway engagement was led by Mike Howell (Vice President) and included Ed Raffoni (Associate), Loren Heinold (Associate), Catherine Ossikine (Analyst) and Joseph Downing (Managing Director).

About Downer & Company
Since its inception in 1975, Downer & Company, LLC, has gained distinction as a leading middle-market M&A firm focused on the execution of acquisition and divestiture mandates for international and domestic corporations and private equity firms. Downer & Company is headquartered in Boston, Massachusetts, and has offices in Paris, Dublin, Frankfurt and Sydney. Downer & Company received an award for transacting the “International Cross-Border Deal of 2004” and was recognized as the top Investment Banking Firm of 2003 by The Mergers & Acquisitions Advisor. Downer & Company's corporate headquarters are located at 60 State Street, Boston, MA 02109. For further information, visit