CHICAGO, July 28, 2005 - Duff & Phelps, LLC, a national investment banking and financial advisory firm, is pleased to announce that it served as independent financial advisor to Patriot Capital Funding, Inc. (NASDAQ: PCAP) and reviewed the fair market value of the company's investment portfolio in connection with its initial public offering. Net proceeds from the offering are expected to be approximately $92.0 million. Patriot Capital is a closed-end investment company that has elected to be treated as a business development company ("BDC") under the Investment Company Act of 1940. Patriot Capital Funding, Inc. was previously funded by Compass Group International, LLC, a private equity fund based in Westport, Conn.

In addition to Duff & Phelps' role as Patriot Capital's independent financial advisor, Grant Thornton is Patriot Capital's auditor. The underwriters for the IPO included A.G. Edwards, Jeffries & Company, Piper Jaffray and Harris Nesbitt. Sutherland Asbill & Brennan LLP and Sidley Austin Brown & Wood served as Patriot Capital's and the underwriter's legal counsel, respectively.

Patriot Capital (www.pat-cap.com) is a specialty commercial finance company providing customized financing solutions to small- and mid-sized companies. Patriot Capital typically invests in companies with annual revenues between $10 million and $100 million operating in diverse industry sectors. Investments usually take the form of senior secured loans, junior secured loans and subordinated debt investments-sometimes containing equity components. The company also offers "one-stop" financing, including a revolving credit line, one or more term senior loans and a subordinated debt investment.

Duff & Phelps is a national investment banking and financial advisory firm focused on providing merger and acquisition, private placement, valuation, financial opinion and restructuring services to middle-market companies. Since 1932, Duff & Phelps has been committed to delivering independent advice and service of exceptional quality to a broad range of public and private companies. Duff & Phelps has offices in Chicago, New York, Los Angeles, Seattle, San Francisco and Atlanta. More information on Duff & Phelps can be found at www.duffllc.com.