Horizon Technological know-how Finance Presents 3rd Quarter 2020 Portfolio Update
– Originates $16. Million of New Loans –
– Optimistic Liquidity Gatherings of $45 Million Reveal Earnings Energy of Portfolio –
FARMINGTON, Conn., Oct. 7, 2020 /PRNewswire/ — Horizon Technological know-how Finance Company (NASDAQ: HRZN) (“Horizon,” “We,” “Our” or the “Firm”), a primary specialty finance enterprise that offers capital in the variety of secured financial loans to enterprise capital backed businesses in the engineering, lifetime science, healthcare information and facts and services, and sustainability industries, now offered its portfolio update for the third quarter finished September 30, 2020.
“We successfully originated $16 million of financial loans, like to two new portfolio businesses, despite the protracted economic and wellness problems,” explained Gerald A. Michaud, President of Horizon. “We continue to be dedicated to using a selective financial investment method by investing in companies that present highly developed and exceptional technological capabilities, have ample liquidity, and seasoned and robust administration and investors. In addition, $43 million of prepayment exercise throughout the quarter yet again demonstrated the electricity of our predictive pricing method. Our liquidity gatherings more show the excellent of our portfolio corporations and their opportunity for constructive outcomes. We continue being concentrated on handling our current portfolio as a result of this tough financial period and making use of our potent balance sheet to thoughtfully develop and diversify our portfolio with new financial debt investments, which will help us to provide benefit to our shareholders.”
3rd Quarter 2020 Portfolio Update
Originations
Horizon funded four financial loans for the duration of the 3rd quarter of 2020 totaling $16. million, which include:
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$10. million to a new portfolio enterprise, Topia Mobility Inc., a developer of a global talent mobility computer software platform.
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$5. million to a new portfolio corporation, BriteCore Holdings, Inc., a developer of a cloud-indigenous, program system for the assets and casualty coverage section.
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$1. million to two current Horizon portfolio businesses.
Liquidity Situations
Horizon expert liquidity occasions from five portfolio companies in the 3rd quarter of 2020, like principal prepayments of $43.1 million and warrant proceeds of $1.8 million, when compared to $30. million of principal prepayments and $.5 million of warrant proceeds all through the next quarter of 2020:
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In August, New Signature, Inc. (“New Signature”), in relationship with its sale to Cognizant, pay as you go its excellent principal stability of $14.5 million on its undertaking mortgage, plus fascination, close-of-term payment and prepayment charge. Horizon also obtained proceeds of close to $.7 million in connection with the termination of its warrants in New Signature.
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In August, Celsion Corporation (“Celsion”) (NASDAQ: CLSN) prepaid $4.6 million of the fantastic principal stability of its enterprise financial loan, moreover desire and finish-of-term payment on these kinds of prepayment. Horizon proceeds to keep warrants in Celsion, in addition to its remaining debt expenditure of $5. million.
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In August, Horizon received proceeds of $1.1 million on the workout and sale of its warrants in Ontrak, Inc. (“Ontrak”). Horizon continues to maintain warrants in Ontrak.
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In September, Skillshare, Inc. (“Skillshare”) pay as you go its excellent principal stability of $9. million on its venture mortgage, as well as curiosity, conclusion-of-time period payment and prepayment charge. Horizon carries on to keep warrants in Skillshare.
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In September, Mustang Bio, Inc. (“Mustang Bio”) (NASDAQ: MBIO) pay as you go its remarkable principal equilibrium of $15. million on its enterprise financial loan, plus desire, close-of-expression payment and prepayment charge. Horizon proceeds to maintain warrants in Mustang Bio.
Principal Payments Been given
Through the third quarter of 2020, Horizon been given frequently scheduled principal payments on investments totaling $5.9 million, as opposed to consistently scheduled principal payments totaling $4.9 million all through the second quarter of 2020.
Commitments
During the 3rd quarter finished September 30, 2020, Horizon shut new personal loan commitments totaling $21. million to four businesses, when compared to new loan commitments of $75. million to four companies in the second quarter of 2020.
Pipeline
As of September 30, 2020, Horizon’s unfunded bank loan approvals and commitments (“Fully commited Backlog”), all priced at floating curiosity premiums, were being $95.9 million to 13 businesses. This compares to a Committed Backlog of $100.9 million to 12 providers as of June 30, 2020. Though Horizon’s portfolio firms have discretion whether to attract down these commitments, the right of a portfolio firm to attract down its motivation is often topic to achievement of certain milestones and other conditions to borrowing.
Money Markets Exercise – Warrant and Fairness Portfolio
As of September 30, 2020, Horizon held a portfolio of warrant and fairness positions in 68 portfolio corporations, together with 57 personal companies, which delivers the prospective for potential extra returns to Horizon’s shareholders.
About Horizon Know-how Finance
Horizon Technological know-how Finance Corporation (NASDAQ: HRZN) is a top specialty finance business that supplies capital in the sort of secured financial loans to undertaking capital backed providers in the technology, existence science, health care details and services, and sustainability industries. The investment aim of Horizon is to increase its expenditure portfolio’s return by generating present-day earnings from the credit card debt investments it tends to make and funds appreciation from the warrants it gets when generating this kind of financial debt investments. Headquartered in Farmington, Connecticut, Horizon also has regional places of work in Pleasanton, California and Reston, Virginia. To learn more, be sure to check out www.horizontechfinance.com.
Ahead-On the lookout Statements
Statements provided herein may constitute “ahead-wanting statements” inside of the which means of the Personal Securities Litigation Reform Act of 1995. Statements other than statements of historic points integrated in this push release could represent ahead-on the lookout statements and are not guarantees of future general performance, situation or effects and contain a selection of pitfalls and uncertainties. Precise outcomes might vary materially from all those in the ahead-on the lookout statements as a result of a quantity of things, like those explained from time to time in Horizon’s filings with the Securities and Exchange Commission. Horizon undertakes no duty to update any ahead-on the lookout assertion built herein. All ahead-on the lookout statements talk only as of the date of this push release.
Contacts:
Investor Relations:
ICR
Garrett Edson
[email protected]
(860) 284-6450
Media Relations:
ICR
Chris Gillick
[email protected]
(646) 677-1819
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