By using below template you can get initial capital letter for multiple word.
<xsl:call-template name="ginitcap">
<xsl:with-param name="text"> <xsl:value-of select="your value here"/> </xsl:with-param>
</xsl:call-template>
<!-- Customised initial-capital template -->
<xsl:template name="ginitcap">
<xsl:param name="text"/>
<xsl:choose>
<xsl:when test="contains($text,' ')">
<xsl:call-template name="ginitcapword">
<xsl:with-param name="text" select="substring-before($text,' ')"/>
</xsl:call-template>
<xsl:text> </xsl:text>
<xsl:call-template name="ginitcap">
<xsl:with-param name="text" select="substring-after($text,' ')"/>
</xsl:call-template>
</xsl:when>
<xsl:otherwise>
<xsl:call-template name="ginitcapword">
<xsl:with-param name="text" select="$text"/>
</xsl:call-template>
</xsl:otherwise>
</xsl:choose>
</xsl:template>
<xsl:template name="ginitcapword">
<xsl:param name="text"/>
<xsl:value-of select="translate(substring($text,1,1),'abcdefghijklmnopqrstuvwxyz','ABCDEFGHIJKLMNOPQRSTUVWXYZ')" /><xsl:value-of select="translate(substring($text,2,string-length($text)-1),'ABCDEFGHIJKLMNOPQRSTUVWXYZ','abcdefghijklmnopqrstuvwxyz')" />
</xsl:template>
Input : your value here
Output : Your Value Here