Closing of $238.4 Million Private Offering of Common Shares for Arco Capital Corporation Ltd.

Closing of $238.4 Million Private Offering of Common Shares for Arco Capital Corporation Ltd.

April 28, 2007

15.89 Million Common Shares Placed


    SAN JUAN, Puerto Rico, April 28 /Xinhua-PRNewswire/ --
Arco Capital Corporation Ltd. ("ACC") today
announced that it has completed a $238.4 million private
offering of its common shares.  ACC is a holding company
that, through its subsidiaries, engages in lending and
acquisition activities primarily in emerging European and
Latin American markets.  ACC is externally managed by Arco
Capital Management LLC ("ACM"), which is
beneficially owned in part by the principals of Gramercy
Advisors LLC and its affiliates, a leading asset manager of
emerging market investments with $3.8 billion face value of
assets and nearly $2 billion in equity capital under
management as of March 31, 2007.

    In the offering, ACC sold an aggregate of 15.89 million
of its common shares in transactions that were exempt from
registration under U.S. Securities Act of 1933, as amended
(the "Securities Act"), pursuant to Rule 144A,
Regulation S and Regulation D.  ACC will be using the net
proceeds from the transactions, together with credit
facilities, to engage in lending and acquisition activities
in its target markets.

    Citigroup Global Markets Inc. served as sole initial
purchaser and placement agent for the offering. 

    Commenting on the transaction, Jay Johnston, Chairman
and Chief Executive Officer of ACC said "The ACC
management team is excited about building a truly unique
specialty finance company expressly catering to our target
markets."

    About Arco Capital Corporation Ltd.

    Arco Capital Corporation Ltd. ("ACC") is a
holding company domiciled in the Cayman Islands that,
through its subsidiaries, engages in lending and
acquisition activities in emerging European and Latin
American markets.  ACC is externally managed by Puerto Rico
domiciled Arco Capital Management LLC ("ACM"),
which is beneficially owned in part by the principals of
Gramercy Advisors LLC and its affiliates, a leading U.S.
based asset manager in emerging market investments with
$3.8 billion face value of assets and nearly $2 billion in
equity capital under management as of March 31, 2007.  

    This announcement does not constitute or form part of
an offer to sell or solicitation of an offer to purchase or
subscribe for securities in the United States or in any
other jurisdiction.  The securities referred to herein have
not been and will not be registered under the Securities Act
or under the securities laws of any other jurisdiction, and
may not be reoffered or resold within the United States or
in any other jurisdiction absent registration or pursuant
to an applicable exemption from the registration
requirements of the Securities Act or from the registration
requirements in any such other jurisdiction. This press
release shall not constitute an offer to sell or the
solicitation of an offer to buy any of these securities. 
No public offering of securities is being made in the
United States or in any other jurisdiction.



    For more information, please contact:

     Maritza Pizarro
     Arco Capital Management LLC
     Tel:   [phone]
     Email: [e-mail]