American Capital Active With Three Recent Investments –

American Capital Strategies, the publicly traded buyout and mezzanine firm with nearly $1 billion in capital resources, recently announced two deals in the auto parts sector and one in the adhesives manufacturing sector.

ACS Industries Inc. is a maker of water pumps for automotive and light truck vehicles for the replacement market, and was bought for $36 million. The investment takes the form of a senior term loan, senior and junior subordinated debt and preferred equity.

American Capital also invested $5 million, in the form of a senior secured subordinated note, in Phillips & Temro Holdings LLC, a manufacturer of cold weather starting and comfort products for the automotive and heavy duty truck OEM market and aftermarket. The investment supports the acquisition of Phillips by TMB Industries, a Chicago-based private equity firm. LaSalle Bank provided senior term loans and a revolving credit facility. Chilmark Partners is jointly funding the equity.

American Capital’s other recent action is in the specialty coatings and adhesives manufacturing industry, where it spent $12.5 million for Northwest Coatings Corp., headquartered in Oak Creek, Wisc. The investment supports the acquisition of Northwest Coatings by Caltius Capital Management, the Los Angeles-based private equity firm founded in 1997.

American Capital has invested more than $400 million in 19 deals in 2002 and generally invests between $5 million and $35 million in middle-market companies.