Allegiance Capital Corp. Moves, Expands Dallas Headquarters.

Move Exemplifies Growth of Middle-Market Mergers and Acquisitions as Allegiance Expects Closings to Exceed $1 Billion in 2007

DALLAS -- Allegiance Capital Corp., a full-service investment firm serving mid-market companies worldwide, moved its Dallas headquarters this month, expanding its space to accommodate for new personnel and services. The company now occupies 12,500 square feet and is negotiating for an additional 3,500 square feet. Allegiance is located at 5429 LBJ Freeway, suite 750, in the Crossings building, just east of the Galleria.

"This expansion and move help us better serve the growing number of domestic and international offices we've opened during the last several months," said David Lonsdale, president and managing director of Allegiance Capital Corp. "Mid-market merger-acquisition activity is so strong right now that we've added new personnel in this office, while also opening or expanding efforts, from Tulsa to Tel Aviv in Israel, plus New York, Shanghai and Vancouver, B.C."

The company's new headquarters, easily accessible from the LBJ Freeway service road, is 12,500 square feet compared to 8,400 square feet, the size of the company's previous location. The new site adds conference and boardrooms, private offices for investment bankers, a complete bar and break room, mail room and added work spaces. The leasing negotiations and transaction were led by Daniel T. Paterson, president of Swearingen Realty Group in Dallas.

Quick Facts, Allegiance Capital Corp. and Mid-Market Growth

Since January, Allegiance Capital Corp.'s expansion has included:

* Hiring of nine investment bankers and six business development personnel

* Added administrative and support personnel, including Donna Trowbridge as quality control manager

* Opening three new offices, one in Vancouver, B.C., another in Tel Aviv, Israel, with plans to soon open a St. Paul, Minn., office

* Closing five mergers and acquisitions totaling $350 million in transaction value with seven more closings expected within the next 90 days

For the year, Allegiance expects to close 20 transactions valued at $1 billion to $1.5 billion. "With so many companies and funds flush with cash, it's possible that mergers and acquisitions could top $1.7 trillion -- that's straight from a recent Kiplinger Letter," said Lonsdale. "Our experience mirrors that optimism. We see there is $180 billion in available capital, banks are lending and funds are more than willing to invest. With that kind of market, plus our people approach to investment banking, we believe Allegiance Capital leads the pack in terms of helping privately owned and family owned companies sell their businesses."

Allegiance Capital Corp. is a full-service investment banking firm specializing in the middle market (companies with revenue from $10 million to $500 million), with offices in Dallas, New York, Tulsa, Okla., Vancouver, British Columbia, Shanghai and Tel Aviv. Through its worldwide network, Allegiance Capital assists companies in every aspect of selling and financing a business, including debt restructuring, mezzanine financing, buy-out management, strategic partnering, consulting and other related services. Allegiance Capital differentiates itself by having deep industry knowledge, vast contacts with potential buyers, heavy investment in educating sellers and obtaining premium pricing for clients.