Gibraltar Business Capital Joins Hercules Capital as New Portfolio Company

CHICAGO, March 5, 2018 /PRNewswire/ -- Gibraltar Business Capital, an industry leader in providing small and mid-market businesses with the capital they need to solve short-term challenges or seize growth opportunities, has joined Hercules Capital, Inc. (NYSE: HTGC), the leading specialty finance company to innovative, venture growth, pre-IPO and M&A stage companies backed by leading venture capital firms.

"This is an important transition for Gibraltar. We're pleased that Hercules' entrepreneurial mindset and vision for growth align so well with ours," said Gibraltar CEO Scott Winicour. "The acquisition provides deep access to capital – it empowers our growth and amplifies our commitment to deliver value-added lending services to businesses with smart, creative financing solutions that have been the hallmark of our success."

Hercules is the largest business development company "BDC" focused on providing financing to innovative, high-growth venture growth-stage companies in a broad variety of technology, life sciences and sustainable and renewable technology industries. Since its inception in December 2003, Hercules Capital has committed more than $7.3 billion to over 410 companies. Hercules Capital is the only venture debt BDC that has earned investment grade credit ratings from both S&P (BBB-) and Kroll Bond Rating Agency (BBB+).

"Our acquisition of Gibraltar represents a unique opportunity to invest in an established asset-based lender. We believe that this portfolio company investment gives us the opportunity to potentially expand the types of financing options we offer our clients," said Manuel A. Henriquez, founder, chairman and chief executive officer of Hercules. "We are very pleased to welcome Gibraltar CEO Scott Winicour and the entire Gibraltar team to the Hercules family of portfolio companies."

Since its formation in 2010, Gibraltar has underwritten more than $325 million in total credit facilities to more than 170 borrowers. Growth has been powered by lenders including Wells Fargo Capital Finance, part of Wells Fargo & Co. (NYSE: WFC), which was the underwriter of a $75 million senior facility for Gibraltar in 2017. This month, Wells Fargo extended their senior secured loan for two years with an accordion option, increasing Gibraltar's line of credit to $100 million.

"Wells has been an important part in Gibraltar's growth for 8 years and we're proud to continue to support Gibraltar and their new ownership as they enter into this next growth phase," said Cyndi Giles, Head of Lender Finance for Wells Fargo Capital Finance. "We're also pleased to extend additional borrowing capacity to Gibraltar at this critical time to ensure they can expand their role serving small-and medium-sized businesses with innovative working capital financing solutions."

"Wells Fargo has helped us offer readily accessible capital for our clients, while also energizing our team to further our growth and track record," said Winicour. "We are proud of our history and our commitment to our team and our clients will never change. We are excited about new opportunities and new avenues to serve clients and business partners, fueling their growth."

As a new portfolio company, Gibraltar will continue to operate as an independent senior secured asset-based lender and remain at its headquarters in Northbrook (Chicago), Ill. Sandler O 'Neill + Partners, L.P. served as financial advisor to Gibraltar Business Capital on this transaction.

For more information, visit www.gibraltarbc.com.

About Gibraltar Business Capital:

Named in 2017 by Inc. Magazine as one of America's Fastest-Growing Private Companies, Chicago-based Gibraltar Business Capital is a well-capitalized, specialty finance company delivering working capital in the form of asset-based loans and factoring solutions. Gibraltar is an expert financial partner providing small to mid-market companies nationwide access to capital when they need it most to solve challenges or fuel growth at any stage of the business lifecycle. With more than 65 years' experience, Gibraltar's team is trained to listen, think differently, and take unique circumstances into account. Gibraltar Business Capital is a wholly owned subsidiary of Hercules Capital, Inc. (NYSE: HTGC). For more information, visit www.gibraltarbc.com.

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 $7.0 billion to over 390 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 [email protected], or call 650.289.3060.

Hercules' common stock trades on the New York Stock Exchange under the ticker symbol "HTGC." In addition, Hercules has outstanding 6.25% Notes due 2024 (NYSE: HTGX), 4.375% Convertible Notes due 2022, and 4.625% Notes due 2022.

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.

SOURCE Gibraltar Business Capital

Related Links

http://www.gibraltarbc.com