Hercules Closes Public Offering of 6.25% Notes Due 2024

Proceeds from offering expected to propel growth as Company converts new liquidity into new loans for innovative companies

PALO ALTO, Calif.--(BUSINESS WIRE)-- Hercules Technology Growth Capital, Inc. (NYSE: HTGC) (the “Company, the leading specialty finance company focused on providing senior secured loans to venture capital-backed companies in technology-related markets, including technology, biotechnology, life science, and energy & renewable technology industries, today announced that on July 14, 2014 it closed its underwritten public offering of $100 million in aggregate principal amount of its 6.25% notes due 2024 (the “Notes”) The Company has listed the Notes on the New York Stock Exchange under the trading symbol “HTGX.”

The Company intends to invest the net proceeds of this public offering to fund the Company’s investments in debt and equity securities in accordance with its investment objective and for other general corporate purposes. In addition, the Company may also use the net proceeds from the offering to fund the conversion of some or all of its outstanding 6.00% convertible notes due 2016 which select holders have elected to convert and remaining holders may elect to convert.

“We are very pleased to have completed what is our third bond offering and once again successfully accessed the debt capital markets,” said Hercules Co-founder, Chairman and Chief Executive Officer, Manuel Henriquez. “We believe this offering will enable us to lower our overall cost of financing, enhance our balance sheet liquidity, and position us for continued earnings growth, as we intend to convert net offering proceeds into new investments.”

The Notes will mature on July 30, 2024, 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 July 30, 2017. The Notes will bear interest at a rate of 6.25% per year payable quarterly on January 30, April 30, July 30 and October 30, of each year, beginning July 30, 2014. The offering was assigned a BBB+ rating by the Kroll Bond Rating Agency.

Keefe, Bruyette & Woods, Inc., Jefferies LLC, and RBC Capital Markets, LLC are acting as joint book-running managers of this offering. BB&T Capital Markets, a division of BB&T Securities, LLC, Janney Montgomery Scott LLC, JMP Securities LLC and Sterne, Agee & Leach, Inc. are acting as co-managers of this offering.

About Hercules Technology Growth Capital, Inc.

Hercules Technology Growth Capital, Inc. (NYSE: HTGC) is the leading specialty finance company focused on providing senior secured loans to venture capital-backed companies in technology-related markets, including technology, biotechnology, life science, and energy & renewable technology industries, at all stages of development. Since inception (December 2003), Hercules has committed more than $4.2 billion to over 270 companies and is the lender of choice for entrepreneurs and venture capital firms seeking growth capital financing.

In addition to the Notes, Hercules has two outstanding bond issuances of 7.00% Senior Notes due 2019—the April 2019 Notes and September 2019 Notes—which trade on the NYSE under the symbols "HTGZ" and "HTGY," respectively.

Companies interested in learning more about financing opportunities should contact info@htgc.com, or call 650.289.3060.

Forward-Looking Statements

The statements contained in this release that are not purely historical are forward-looking statements. 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 turbulence, and other factors we identify from time to time in our filings with the Securities and Exchange Commission. Although we believe 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.

Hercules Technology Growth Capital, Inc.
Main, 650-289-3060 HT-HN
info@htgc.com
or
Market Street Partners
Ed Keaney, 415-445-3238
ekeaney@marketstreetpartners.com

Source: Hercules Technology Growth Capital, Inc.

Released August 1, 2014