ST. PETER PORT, Guernsey, September 19 /PRNewswire/ --

European Capital S.A. SICAR, a wholly-owned subsidiary of European
Capital Limited (LSE: ECAS) ("European Capital") announced today that it,
together with ECAS Sarl and ECAS II Sarl, has invested in the holding company
controlling Audika Group (Euronext Paris: ADI), the leading French
distributor of hearing aids with over 340 fully owned centers. The investment
was led by the Paris office of European Capital Financial Services Limited
("European Capital Services"), the sub-investment manager of European
Capital. European Capital's investment takes the form of senior and junior
mezzanine debt and common equity. European Capital has invested in the
holding company that controls 53.9% of the Audika listed entity. This holding
company is 55% owned by founding managers Alain and Jean-Claude Tonnard, 39%
by European Capital and 6% by another manager, Philippe Langzam.

"We are very happy to support the development of Audika, a leading
company in the fast growing market of hearing correction," said Jean
Eichenlaub, Managing Director of European Capital Services. "We quickly
assembled a specific financing package that provides optimal support to
Audika's founders and co-CEOs as they pursue compelling expansion
opportunities. This transaction supports the ambition of Audika's founders
and senior management to carry on the Group's long term and international
development and perpetuate its family management spirit, backed by an active
financial partner. "

"Through innovative marketing campaigns, Audika has achieved top brand
recognition among end-consumers, to whom it delivers personalized,
first-class products and hearing correction services," said Jacques Pancrazi,
Director of European Capital Services. "In addition, Audika's unique network
organization produces unmatched productivity and steady performance
improvement. Audika's management team has an outstanding track record of
acquiring and integrating independent centers. We are delighted to contribute
and to support the group in its ambitious international development plan."

"Driven by lengthening life expectancies and aging baby boomers
experiencing the failing of their auditory capabilities, the hearing aid
market benefits from steady growth and excellent visibility. In addition, it
remains a very fragmented market with many acquisition opportunities," said
Isabelle Carpentier, European Capital Services Manager. "Continually
improving technologies also contribute to widening consumer acceptance and an
increasing penetration rate among hearing impaired persons."

Founded in 1977 and listed on the Paris stock exchange since 1998, Audika
is the leading French network of hearing correction centers, increasing from
205 in 2001 to over 340 owned centers today. Headquartered in Paris, Audika
has nearly 600 employees. In 2006, Audika generated sales and EBITDA of euro
79 million and euro 15 million respectively and targets revenues of euro 92
million in 2007.

"We are delighted to partner with European Capital for the next step of
our development," said Jean-Claude and Alain Tonnard, Audika co-CEOs.
"European Capital's international presence will be highly valuable in support
of our international expansion in the coming years."

European Capital has invested euro 1.7 billion (US$2.4 billion) in the
last twelve months, euro 1.3 billion (US$1.8 billion) year to date and euro
333 million (US$466 million) quarter to date. For more information about
European Capital's portfolio, go to
http://www.ECAS.com/our_portfolio/portfolio.html.

ABOUT EUROPEAN CAPITAL

European Capital is a publicly traded company for pan-European equity,
mezzanine and senior debt investments with capital resources of approximately
euro 2.3 billion (US$3.2 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 euro 5
million and euro 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 Jean Eichenlaub at +33(0)1-4068-0666 in Paris,
Nathalie Faure Beaulieu or Simon Henderson at +44(0)20-7539-7000 in London,
Robert von Finckenstein at +49(0)69-7171-2970 in Frankfurt, or Luis Felipe
Castellanos at +(34)91-745-9963 in Madrid, or visit the website at
www.EuropeanCapital.com.

ABOUT AMERICAN CAPITAL

American Capital Strategies Ltd. (Nasdaq: ACAS) is an affiliate of
European Capital and the only alternative asset management company that is a
member of the S&P 500. With US$17 billion in assets under management(1),
including in externally managed funds, 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 US$5 million to US$800
million per company in North America and euro 5 million to euro 500 million
per company in Europe.

(1) Assets under management is an estimate of internally and externally
        managed assets as of July 31, 2007 and does not include any fair
        value adjustments subsequent to June 30, 2007.

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.

This announcement includes statements that are, or may be deemed to be,
"forward-looking statements". These forward-looking statements can be
identified by the use of forward-looking terminology, including the terms
"believes", "estimates", "plans", "projects", "anticipates", "expects",
"intends"," may", "will", or "should" or, in each case, their negative or
other variations or comparable terminology. These forward-looking statements
include matters that are not historical facts and include statements
regarding European Capital's intentions, beliefs or current expectations
concerning, among other things, European Capital's results of operations,
financial condition, liquidity, prospects, growth and strategies.

By their nature, forward-looking statements involve risk and uncertainty
because they relate to future events and circumstances. A number of factors
could cause actual results and developments to differ materially from those
expressed or implied by the forward-looking statements.

Forward-looking statements may and often do differ materially from actual
results. Any forward-looking statements in this announcement reflect European
Capital's view with respect to future events as at the date of this
announcement and are subject to risks relating to future events and other
risks, uncertainties and assumptions relating to European Capital's
operations, results of operations, growth strategy and liquidity. European
Capital undertakes no obligation publicly to release the results of any
revisions to any forward-looking statements in this announcement that may
occur due to any change in its expectations or to reflect events or
circumstances after the date of this announcement.

Web site: http://www.EuropeanCapital.com
              http://www.americancapital.com
              http://www.ECAS.com/our_portfolio/portfolio.html