Main Street Capital Announces Three New Portfolio Investments

HOUSTON, Sept. 29 /PRNewswire-FirstCall/ -- Main Street Capital Corporation (Nasdaq: MAIN) ("Main Street") announced today that it has completed three new portfolio investments in Indianapolis Aviation Partners, LLC ("IAP"), Thermal & Mechanical Equipment, LLC ("TMEC"), and Compact Power Equipment Centers, LLC ("Compact Power").

Main Street provided IAP with debt and equity financing in connection with the acquisition of a Fixed Base Operation ("FBO"), located at the Indianapolis International Airport, that was previously owned by Signature Flight Support Corporation and, at an earlier date, by Hawker Beechcraft Services, Inc. The IAP facility currently operates within the "Million Air" group and will utilize the "Million Air" brand name. Main Street's $3.3 million new portfolio investment in IAP consists of a first lien, secured debt investment with equity warrant participation and a direct preferred equity investment made on the same terms as IAP's other equity investors. Main Street's fully diluted equity interest in IAP is approximately 18%. IAP provides various aviation support services, including fueling, storage, and numerous ground services to general aviation, fractional fleet and commercial customers. IAP is one of two FBO operators at the Indianapolis International Airport and benefits from a newly constructed FBO facility, over 57,000 sq. ft. of FBO and hangar storage space, and a long-term ground lease with the airport.

In addition, Main Street has made a $5.0 million investment in TMEC consisting of a first lien, secured debt investment and a direct common equity investment. Main Street's fully diluted equity interest in TMEC is 30%. TMEC is a designer, distributor and representative for manufacturers which specializes in heat transfer, filtration equipment and related services. TMEC delivers custom engineered solutions for heavy commercial and industrial applications in the power, chemical, refining and oil/natural gas industries. TMEC also offers filtration equipment and replacement filters primarily oriented to the rotating equipment suppliers of gas turbines and compressors.

Main Street also made an investment in Compact Power with an initial commitment for a $1.8 million first lien, secured debt investment with equity participation representing approximately 7% of the fully diluted equity interests in Compact Power. Compact Power is a light to medium duty equipment rental operation that owns and operates outdoor equipment rental locations, most of which are co-located at The Home Depot retail stores. Main Street made its investment in Compact Power as a co-investment in partnership with two other institutional investors.

ABOUT MAIN STREET CAPITAL CORPORATION

Main Street (www.mainstcapital.com) is a principal investment firm that provides long-term debt and equity capital to lower middle market companies. Main Street's 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 to its portfolio companies.

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

    Dennard Rupp Gray and Easterly, LLC
    Ken Dennard
    ksdennard@drg-e.com / 713-529-6600
    Augustine Okwu
    gokwu@drg-e.com / 404-532-0086

SOURCE Main Street Capital Corporation

Released September 29, 2009