Hercules Receives SBIC License and Secures Financing for Up to
 $124.4 Million for its SBIC Subsidiary, Hercules Technology II, L.P.

    PALO ALTO, Calif.--(BUSINESS WIRE)--Oct. 3, 2006--Hercules
Technology Growth Capital, Inc. (Hercules) (NASDAQ:HTGC), a leading
specialty finance company providing venture capital and private equity
backed technology and life science companies with debt and equity
growth capital, announced that on Sept. 29, 2006, its subsidiary,
Hercules Technology II, L.P., had secured a license from the Small
Business Investment Company ("SBIC") program and financing for up to
$124.4 million from the United States Small Business Administration
(the "SBA"). Hercules Technology Growth Capital, Inc. and the SBA are
the sole limited partners of Hercules Technology II, L.P.

    Manuel A. Henriquez, chairman, president and CEO of Hercules,
said, "We are very pleased with the SBA's decision to grant us a
license and excited to begin investing the fund's capital. This
license further validates our investment strategy and provides an
additional source of capital as we continue to fund new investments to
venture capital and private equity backed technology and life science
companies across the United States."

    Hercules Technology II, L.P. intends to seek up to $124.4 million
in leverage from the U.S. Small Business Administration (SBA) in
various tranches over the next few years. It will provide debt and
equity growth capital to technology-related companies at all stages of
development who have limited access to capital markets or alternative
sources of growth capital beyond equity. Mr. Manuel Henriquez,
chairman of the fund's parent company, Hercules, is a principal of
Hercules Technology II, L.P. along with Scott Harvey, David Lund,
Parag Shah and Sam Bhaumik.

    About Hercules Technology Growth Capital, Inc.:

    Founded in December 2003, Hercules Technology Growth Capital, Inc.
is a NASDAQ traded specialty finance company providing debt and equity
growth capital to technology-related companies at all stages of
development. The Company primarily finances privately-held companies
backed by leading venture capital and private equity firms and also
may finance certain publicly-traded companies. Hercules' strategy is
to evaluate and invest in a broad range of ventures active in
technology and life science industries and to offer a full suite of
growth capital products up and down the capital structure to
prospective clients ranging from early-stage growth to expansion stage
companies. The Company's investments are originated through its
principal office located in Silicon Valley, as well as additional
offices in the Boston, Boulder and Chicago areas. Providing capital to
publicly-traded or privately held companies backed by leading venture
capital and private equity firms involves a high degree of credit risk
and may result in potential losses of capital.

    For more information, please visit www.herculestech.com, or
www.htgc.com. 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 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 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.

    CONTACT: Hercules Technology Growth Capital, Inc.
             David Lund, 650-289-3077
             dlund@htgc.com
             Main, 650-289-3060
             info@htgc.com