11/01/2017 21:15:00

Horizon Technology Finance Provides Investment Portfolio Update

FARMINGTON, Conn., Jan. 11, 2017 (GLOBE NEWSWIRE) -- Horizon Technology Finance Corporation (NASDAQ:HRZN) (“Horizon”), a leading specialty finance company that provides capital in the form of secured loans to venture capital backed companies in the technology, life science, healthcare information and services, and cleantech industries, today provided a portfolio update for the fourth quarter and year ended December 31, 2016.

“Our fourth quarter activity included new loans to two public life sciences companies and positive liquidity events from three portfolio companies which has enhanced our liquidity position,” said Gerald A. Michaud, President of Horizon. “During this time, we also took important steps to strengthen our investment platform by adding two senior-level hires to our life sciences team. Our expanded capabilities, combined with our strong liquidity, put us in an excellent position to grow our portfolio in 2017.”

New Loans Funded

Horizon funded two new loans in the fourth quarter of 2016 totaling $13.8 million, and 13 new loans totaling $57.8 million for the year. Horizon funded the following loans in the fourth quarter:

  • $6.3 million to a new portfolio company, vTv Therapeutics, Inc., a clinical-stage biopharmaceutical company committed to the discovery and development of treatments for a range of human diseases including Alzheimer's disease and diabetes.

     

  • $7.5 million to a new portfolio company, Strongbridge Biopharma plc, a global commercial-stage biopharmaceutical company focused on the development and commercialization of therapies for rare diseases with significant unmet needs.

Liquidity Events

During the quarter ended December 31, 2016, Horizon experienced liquidity events from three portfolio companies, increasing the total number of portfolio companies with liquidity events to 13 for the year. Liquidity events for Horizon may consist of the sale of warrants or equity in portfolio companies, loan prepayments, sale of owned assets or receipt of success fees.

In November, Additech, Inc. (“Additech”) prepaid the outstanding principal balance of $3.8 million on its venture loan, plus interest and end-of-term payment. Horizon continues to hold warrants in Additech.

In November, Crowdstar, Inc. (“Crowdstar”) prepaid the outstanding principal balance of $1.3 million on its venture loan, plus interest, end-of-term payment and prepayment fee. Horizon also received proceeds from the exercise and sale of warrants in Crowdstar.

In December, Medsphere Systems Corporation (“Medsphere”) prepaid the outstanding principal balance of $7.5 million on its venture loan, plus interest, end-of-term payment and prepayment fee. Horizon continues to hold warrants in Medsphere.

Refinanced Principal Balances, Early Principal Payoffs, and Principal Payments Received

As noted above, Horizon experienced early pay-offs during the fourth quarter of 2016 totaling $12.7 million, compared to early pay-offs totaling $17.0 million during the third quarter of 2016. During the fourth quarter of 2016, Horizon received regularly scheduled principal payments on investments totaling $12.9 million, which included InVisage Technologies, Inc.’s (“InVisage”) repayment at maturity of the outstanding principal balance of $2.8 million on its venture loan, plus interest and end-of-term payment, compared to regularly scheduled principal payments totaling $10.3 million during the third quarter of 2016. Horizon continues to hold warrants in InVisage.

Commitments

During the quarter ended December 31, 2016, Horizon closed new loan commitments totaling $27.5 million to two companies, compared to the quarter ended September 30, 2016, wherein Horizon closed new loan commitments totaling $17.0 million to two companies.

Pipeline

As of December 31, 2016, Horizon's unfunded loan approvals and commitments (“Committed Backlog”), all priced at floating interest rates, were $20.8 million to four companies. This compares to a Committed Backlog of $19.5 million to three companies as of September 30, 2016. While Horizon’s portfolio companies have discretion whether to draw down such commitments, the right of a portfolio company to draw down its commitment is often subject to achievement of specific milestones and other conditions to borrowing.

Warrant and Equity Portfolio

As of December 31, 2016, Horizon held a portfolio of warrant and equity positions in 85 portfolio companies, including 71 private companies, which provides the potential for future additional returns to Horizon's shareholders.

About Horizon Technology Finance

Horizon Technology Finance Corporation is a leading specialty finance company that provides capital in the form of secured loans to venture capital backed companies in the technology, life science, healthcare information and services, and cleantech industries. The investment objective of Horizon is to maximize its investment portfolio’s return by generating current income from the debt investments it makes and capital appreciation from the warrants it receives when making such debt investments. Headquartered in Farmington, Connecticut, Horizon has regional offices in Pleasanton, California and Reston, Virginia. Horizon's common stock trades on the NASDAQ Global Select Market under the ticker symbol "HRZN". To learn more, please visit www.horizontechfinance.com

Forward-Looking Statements

Statements included herein may constitute "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. Statements other than statements of historical facts included in this press release may constitute forward-looking statements and are not guarantees of future performance, condition or results and involve a number of risks and uncertainties. Actual results may differ materially from those in the forward-looking statements as a result of a number of factors, including those described from time to time in our filings with the Securities and Exchange Commission. Horizon undertakes no duty to update any forward-looking statement made herein. All forward-looking statements speak only as of the date of this press release.

Contacts:

Horizon Technology Finance

Daniel R. Trolio

Vice President of Finance and

Interim Chief Financial Officer

(860) 674-9977

dtrolio@horizontechfinance.com

Investor Relations and Media Contacts:

The IGB Group

Scott Eckstein / Leon Berman

(212) 477-8261 / (212) 477-8438

seckstein@igbir.com / lberman@igbir.com

Post comment

Related debate

  • 1 week
  • 1 month
  • 1 Year
18 Jan
OMXC25
@ Poppelkongen: Jeg tror ski da, at du har misforstået brugen af filteret?! Når du nævner, at du er..
37
17 Jan
 
Hej alle,   Nu hvor jeg tager et sabat-år som investor i 2018, tænkte jeg, at jeg ville lave en upda..
26
19 Jan
 
Jeg har på en fornemmelsen at i ikke bryder jer om mig? Ik sandt? Så har overvejet at stoppe på EI. ..
24
20 Jan
 
Jeg stiller mig tvivlende,,,,,: At som dansk at betale til Prins Henrik & Co der skider DK en hatful..
19
15 Jan
BEO-SDB
Godmorgen,   Som langt størstedelen af jer der har investeret i BEO ved, afventer vi svar fra Bergst..
18
19 Jan
 
Måske du bare skulle revurdere din adfærd og generelle ageren?
16
15 Jan
VWS
Vi har snakker Vestas Service en gang i dag, men jeg tror, at selv Vestas Group er overrasket over, ..
16
18 Jan
VWS
Utroligt, at det nu i flere år har været muligt og lovligt at handle under dæknavnet "Anonymous Brok..
15
20 Jan
TEVA
Mit råd er at lade være med at lytte til andre. Beslut dig, hvad du synes Teva er værd. Hvis den nuv..
14
19 Jan
NOVO-B
Novo/Goldman: Kursmålet hæves med godt 30 pct. 19/1/2018 06.34· Ritzau Finans Den danske medicinalgi..
14

Majedie Asset Management Ltd : Form 8.3 - TESCO PLC

19/01/2018 15:28:15
FORM 8.3   PUBLIC OPENING POSITION DISCLOSURE/DEALING DISCLOSURE BY A PERSON WITH INTERESTS IN RELEVANT SECURITIES REPRESENTING 1% OR MORE Rule 8.3 of the Takeover Code (the "Code")   1.         KEY INFORMATION   (a) Full name of discloser: ..

Invesco Ltd. : Form 8.3 - Informa Plc

19/01/2018 13:58:51
FORM 8.3 PUBLIC OPENING POSITION DISCLOSURE/DEALING DISCLOSURE BY A PERSON WITH INTERESTS IN RELEVANT SECURITIES REPRESENTING 1% OR MORE Rule 8.3 of the Takeover Code (the "Code") 1.         KEY INFORMATION (a) Full name of discloser:   Invesco Ltd. (b) Owner or control..

Dimensional Fund Advisors Ltd. : Form 8.3 - Tesco Plc - Ordinary shares

19/01/2018 10:18:53
FORM 8.3 PUBLIC OPENING POSITION DISCLOSURE/DEALING DISCLOSURE BY A PERSON WITH INTERESTS IN RELEVANT SECURITIES REPRESENTING 1% OR MORE Rule 8.3 of the Takeover Code (the "Code") 1.         KEY INFORMATION (a) Full name of discloser:   Dimensional Fund Advisors Ltd. ("Dimensional"), in its capacity ..

Most read news

  • 24 hours
  • 48 hours
  • 1 week
1
Gala Pharmaceuticals Sees 2018 as Breakthrough Year for Company
2
Aluminum Association Responds to Submission of Section 232 Report to the President
3
Pulse Larsen Antennas will showcase its RAZORBACK, ARMADILLO, FIN, PANTHER, JAGUAR, DISC antenna series. Available in black and white, with three mounting types (direct, adhesive and magnet).

Buy and sell signals

  • Trend
  • Moneymachine

Copyright Euroinvestor A/S 2018   Disclaimer and Terms of Use
Quote information is delivered by Morningstar.
Data is delayed 15-20 minutes according to the distribution agreements set by the different exchanges.
 
22 January 2018 04:00:41
(UTC+00:00) Dublin, Edinburgh, Lisbon, London
Version: LiveBranchBuild_20180112.1 - EUROWEB1 - 2018-01-22 05:00:41 - 2018-01-22 04:00:41 - 1000 - Website: OKAY