Ameritrans Capital Corporation Announces
Completion of $975,000 Debt Financing
March 26, 2010 02:01 PM Eastern Daylight Time
NEW YORK--(EON: Enhanced Online News)--Ameritrans Capital Corporation (NASDAQ: AMTC, AMTCP)
announced today the completion of a private placement debt financing for the Company. The financing consists of
$975,000 8.75-percent (8.75%) notes due in March 2012. At the Company's option, the notes may be extended
until March 2013 at a rate of 5.5%, plus the then current Prime Rate. The notes pay interest quarterly and are
redeemable by the Company at any time upon not less than thirty days' prior written notice to the holder. The notes
were sold at par resulting in aggregate gross proceeds of approximately $975,000. Mr. Steven Etra, a member of
the Company's Board, and certain entities affiliated with Mr. Etra, participated in the offering.
The two-year Notes issued in the offering are on substantially similar terms to those issued in the Company’s
December 2009 debt offering. A total of $3 million was raised in the two offerings.
"We are pleased to complete this private placement of Notes. The proceeds from the note issuance will be used for
general working capital and investment opportunities." commented Michael Feinsod, Ameritrans Capital
Corporation's chief executive officer and president.
The notes are not convertible and have not been registered under the U.S. Securities Act of 1933, as amended, and
may not be offered or sold in the United States absent registration or an applicable exemption from the registration
requirements of the Securities Act.
Ameritrans Capital Corporation is an internally managed, closed-end investment company that has elected to be
regulated as a business development company (BDC) under the Investment Company Act of 1940, as amended.
Ameritrans originates, structures and manages a portfolio of secured business loans and selected equity securities.
Ameritrans' wholly owned subsidiary Elk Associates Funding Corporat