Hercules Capital Prices Public Offering of $40 Million 6.25% Notes due 2033
September 19 2018 - 7:13PM
Business Wire
Hercules Capital, Inc. (NYSE: HTGC) (“Hercules” or the
“Company”), today announced that it has priced an underwritten
public offering of $40 million in aggregate principal amount of
6.25% notes due 2033 (the “Notes”). The Notes will mature on
October 30, 2033, and may be redeemed in whole or in part at any
time or from time to time at the Company’s option on or after
October 30, 2023. The Notes will bear an interest rate of 6.25% per
year payable quarterly on January 30, April 30, July 30, and
October 30, of each year, beginning October 30, 2018. The Company
intends to apply to list the Notes on the New York Stock Exchange
under the trading symbol “HCXY.” The closing of the transaction is
subject to customary closing conditions and the Notes are expected
to be delivered and paid for on September 24, 2018. The Company has
also granted the underwriters a 30-day option to purchase up to an
additional $6 million in aggregate principal amount of the Notes to
cover over-allotments, if any.
The Company expects to use the net proceeds from this offering
(i) to fund investments in debt and equity securities in accordance
with its investment objective, (ii) to make acquisitions, (iii) to
retire certain debt obligations (which may include the 6.25% Notes
due 2024), and (iv) for other general corporate purposes.
Keefe, Bruyette & Woods, A Stifel Company, Morgan
Stanley and UBS Investment Bank are acting as joint book-running
managers of this offering. Janney Montgomery Scott is acting as a
lead manager of this offering. BB&T Capital Markets,
B. Riley FBR, Ladenburg Thalmann, Compass Point and
Wedbush Securities are acting as co-managers of this offering.
The offering may be made only by means of a preliminary
prospectus supplement and an accompanying prospectus, copies of
which may be obtained from (1) Keefe, Bruyette & Woods,
Inc., Attention: Capital Markets, 787 Seventh Avenue, 4th Floor,
New York, NY 10019; or by calling Keefe, Bruyette & Woods,
Inc., toll-free at (800) 966-1559; or by e-mailing Keefe,
Bruyette & Woods, Inc. at uscapitalmarkets@kbw.com;
(2) Morgan Stanley & Co. LLC, 180 Varick Street, New York,
NY 10014, Attn: Prospectus Department or by calling Morgan Stanley
at (800) 584-6837, or by e-mailing Morgan Stanley at
prospectus@morganstanley.com; and (3) UBS Securities LLC, 1285
Avenue of the Americas, New York, New York 10019, Attention:
Prospectus Specialist, Telephone: 888-827-7275.
Investors are advised to carefully consider the investment
objectives, risks, charges and expenses of the Company before
investing. The prospectus supplement and the accompanying
prospectus contain this and other information about the Company and
should be read carefully before investing.
This press release does not constitute an offer to sell or the
solicitation of an offer to buy, nor shall there be any sale of,
the Notes in any state or other jurisdiction in which such offer,
solicitation or sale would be unlawful prior to the registration or
qualification under the securities laws of any such state or other
jurisdiction.
This press release does not constitute a notice of redemption
with respect to any of the 6.25% Notes due 2024.
About Hercules Capital, Inc.
Hercules Capital, Inc. (NYSE: HTGC) (“Hercules”) is the leading
and largest specialty finance company focused on providing senior
secured venture growth loans to high-growth, innovative venture
capital-backed companies in a broad variety of technology, life
sciences and sustainable and renewable technology industries. Since
inception (December 2003), Hercules has committed more than $8.0
billion to over 430 companies and is the lender of choice for
entrepreneurs and venture capital firms seeking growth capital
financing. Companies interested in learning more about financing
opportunities should contact info@htgc.com, or call
650.289.3060.
Hercules’ common stock trades on the New York Stock Exchange
(NYSE) under the ticker symbol "HTGC." In addition, Hercules has
four outstanding bond issuances of 6.25% Notes due 2024 (NYSE:
HTGX), 4.375% Convertible Notes due 2022, 4.625% Notes due October
2022 and 5.25% Notes due 2025 (NYSE: HCXZ).
Forward-Looking Statements
This press release may contain “forward-looking statements”
within the meaning of the Private Securities Litigation Reform Act
of 1995. You should understand that under Section 27A(b)(2)(B) of
the Securities Act of 1933, as amended, and Section 21E(b)(2)(B) of
the Securities Exchange Act of 1934, as amended, or the Exchange
Act, the “safe harbor” provisions of the Private Securities
Litigation Reform Act of 1995 do not apply to forward-looking
statements made in periodic reports we file under the Exchange
Act.
The information disclosed in this press release is made as of
the date hereof and reflects Hercules most current assessment of
its historical financial performance. Actual financial results
filed with the SEC may differ from those contained herein due to
timing delays between the date of this release and confirmation of
final audit results. These forward-looking statements are not
guarantees of future performance and are subject to uncertainties
and other factors that could cause actual results to differ
materially from those expressed in the forward-looking statements
including, without limitation, the risks, uncertainties, including
the uncertainties surrounding the current market volatility, and
other factors the Company identifies from time to time in its
filings with the SEC. Although Hercules believes that the
assumptions on which these forward-looking statements are based are
reasonable, any of those assumptions could prove to be inaccurate
and, as a result, the forward-looking statements based on those
assumptions also could be incorrect. You should not place undue
reliance on these forward-looking statements. The forward-looking
statements contained in this release are made as of the date
hereof, and Hercules assumes no obligation to update the
forward-looking statements for subsequent events.
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version on businesswire.com: https://www.businesswire.com/news/home/20180919005880/en/
Hercules Capital, Inc.Michael Hara, 650-433-5578Investor
Relations and Corporate Communicationsmhara@htgc.com
Hercules Capital (NYSE:HTGC)
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