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MVC Capital Announces Investment in Lithuania-based Engineering Solutions Company, FIMA, UAB

PURCHASE, N.Y.-(Business Wire)-September 4, 2008 - MVC Capital, Inc. (NYSE: MVC), a publicly traded business development company that makes private debt and equity investments, today announced that in partnership with Riga Capital SARL (“RC”), it has made a $28.1 million equity investment in FIMA, UAB (“FIMA”), a Lithuanian-based systems integrator. The Fund’s investment in FIMA will be made through a newly formed Dutch holding company named Security Holdings B.V. The Fund’s investment will be used to support FIMA's Eastern European expansion plans.

With offices in Vilnius, Kaunas, Klaipeda and Siauliai in Lithuania and a subsidiary company in Latvia, FIMA is a leading company in the development of electronic engineering solutions and project management in Lithuania, providing services locally and to foreign enterprises for over 16 years. FIMA’s capabilities span system design and auditing, installation, commissioning and long-term technical service and maintenance.

MVC’s partner in this venture, Riga Capital, is an investment and advisory company investing in growth companies in the wider Baltic Sea region. The management team at Riga Capital has extensive experience in the IT and Telecommunications industries and operational management experience across Eastern Europe and Scandinavia. Nils Melngailis, President of Riga Capital said, “We believe that FIMA is a great success story and that it is a company which has the potential to become the leading integrated solutions provider across the region. This is exactly the type of growth opportunity where we can add value and we look forward to working with the management team at FIMA to help expand the business.”

"We are excited about the growth prospects of FIMA with its current foothold in Lithuania as well as its expansion opportunities throughout Eastern Europe,” said Michael Tokarz, Chairman and Portfolio Manager of MVC Capital. “We are looking forward to leveraging Riga Capital’s relationships in this sector to help us grow FIMA internationally.”

MVC-G

About MVC Capital, Inc.

MVC Capital is a Business Development Company traded on the New York Stock Exchange that provides long-term debt and equity investment capital to fund growth, acquisitions and recapitalizations of companies in a variety of industries. For MVC's investor relations, please call 914-510-9400. All media inquiries should be directed to Nathaniel Garnick at 212-687-8080.

About Riga Capital

Riga Capital is an investment and advisory firm focusing on companies with strong growth potential in the wider Baltic Sea region including Eastern Europe, Nordic countries and the CIS. Riga Capital’s unique strength lies in its combination of operational management experience and proven track record of transaction execution. Having worked with and managed leading Baltic and international companies, Riga Capital is able to build on its wealth of experience to work with management teams to create shareholder value. Riga Capital was established in April 2008.

Forward-Looking Statements

The information contained in this press release contains forward-looking statements. These forward-looking statements are subject to the inherent uncertainties in predicting future results and conditions. Certain factors could cause actual results and conditions to differ materially from those projected in these forward-looking statements, and these factors are enumerated in the company's periodic filings with the Securities and Exchange Commission.

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