MCLEAN, Va., April 11, 2011 /PRNewswire/ -- Gladstone
Investment Corporation (Nasdaq: GAIN) ("Gladstone Investment")
announced today that it invested $16.4
million in Mitchell Rubber Products, Inc. ("Mitchell
Rubber"), such investment consisting of subordinated debt and
equity. Gladstone Investment, together with Ted Ballou, CEO of Mitchell Rubber, and certain
key members of Mitchell Rubber's management, provided the capital
to support the recapitalization of the business. Mitchell
Rubber, headquartered in Mira Loma,
California, develops, mixes, and molds rubber compounds for
specialized applications in the non-tire rubber market. For
more information on Mitchell Rubber, please go to
www.mitchellrubber.com.
(Logo:
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"Gladstone Investment is excited about partnering with the
talented management team at Mitchell Rubber, led by CEO
Ted Ballou, and we look forward to
growing the business together. As a result of its expertise
in rubber compounding solutions and customer service, Mitchell
Rubber performed exceptionally well through the economic downturn
and is currently positioned to continue growing by expansion within
its existing customer base and through new business development
efforts," said Dave Dullum,
President of Gladstone Investment.
Gladstone Investment Corporation is a publicly traded business
development company that seeks to make debt and equity investments
in small and mid-sized businesses in the
United States in connection with acquisitions, changes in
control and recapitalizations. The Company pays monthly dividends
to its stockholders. Mitchell Rubber was represented by BellMark
Partners, LLC of Cleveland, Ohio.
Additional information on this transaction can be found at
www.gladstonecompanies.com.
For Investor Relations inquiries related to any of the monthly
dividend paying Gladstone funds,
please visit www.gladstone.com.
Forward-looking Statements:
The statements in this press release regarding the
longer-term prospects of Mitchell Rubber and its management team,
and the ability of Mitchell Rubber to grow and expand in the rubber
compound business are "forward-looking statements." These
forward-looking statements inherently involve certain risks and
uncertainties, although they are based on the Company's current
plans that are believed to be reasonable as of the date of this
press release. Factors that may cause the Company's actual results
to differ from these forward-looking statements include, among
others, the duration and potential future effects of the current
economic downturn on its portfolio companies and on the senior loan
market and those factors listed under the caption "Risk Factors" of
the Company's Post-Effective Amendment No. 2 to the Registration
Statement on Form N-2 (No. 333-160720) as filed with the SEC
on November 22, 2010. The risk
factors set forth in the Form N-2 under the caption "Risk Factors"
are specifically incorporated by reference into this press release.
The Company undertakes no obligation to publicly update or revise
any forward-looking statements, whether as a result of new
information, future events or otherwise.
SOURCE Gladstone Investment Corporation