Hercules Announces YTD New Originations of Over $93 Million
Hercules Technology Growth Capital announced its quarter-to-date Q3 2012 portfolio update.
New Originations Quarter-to-Date:
As of September 10, 2012, in the third quarter of 2012, Hercules has originated commitments of over $93 million to new and existing portfolio companies.
Hercules’ new investment commitments include:
In addition, Hercules provided over $25 million in commitments to existing portfolio companies.
As of September 10, 2012, Hercules received approximately $40 million in principal repayments, of which approximately $5.6 million were unscheduled early repayments. In addition, in July Hercules received payment of $2 million for its total debt investments in MaxVision Holding, L.L.C. As of June 30, 2012 Hercules valued these debt investments, which had a total cost basis of approximately $7.1 million at a fair value of approximately $169,000. These investments were accounted for on a non-accrual basis. In the third quarter of 2012, Hercules will record a realized loss of $5.1 million and a reversal of previously recorded unrealized depreciation of $6.9 million for the MaxVision debt investments.
Unfunded Commitments – Future Portfolio Growth Potential:
As of September 10, 2012, Hercules had unfunded debt commitments of approximately $69.8 million. Since these commitments may expire without being drawn upon, unfunded commitments do not necessarily represent future cash requirements or future earning assets for Hercules. Approximately $35 million of these unfunded commitments are dependent upon the portfolio company reaching certain milestones before the Hercules debt commitment would become available.
Signed Term Sheets – Additional Future Portfolio Growth Potential:
As of September 10, 2012, Hercules has approximately $141.5 million of signed non-binding term sheets subject to completion of definitive documentation with prospective portfolio companies, which generally convert to contractual commitments within approximately 45 to 60 days. Non-binding term sheets are subject to completion of Hercules’ due diligence, investment committee approval, legal review, and negotiation of definitive documentation. It is important to note not all signed non-binding term sheets are expected to close and do not necessarily represent any future cash requirements.
Portfolio Company Liquidity Events:
As of September 10, 2012, Hercules had warrant positions in over 115 different technology-related companies, three of which have filed Form S-1 Registration Statements in contemplation of a potential IPO: Glori Energy, Inc., iWatt, Inc. and Trulia.
NYSE Bell Ringing:
On Friday, September 14, 2012 executives and guests of Hercules will visit the New York Stock Exchange (NYSE) and Manuel A. Henriquez will ring the NYSE Opening Bell. Hercules is celebrating the transfer of its stock listing to the NYSE from NASDAQ and the company began trading on the NYSE on April 30, 2012 under the ticker symbol “HTGC.” In addition, the company’s 7.00% Senior Notes due 2019 trade on the NYSE under the symbol “HTGZ.”