Horizon Technology Finance Corp (HRZN) SEC Filing 10-K Annual report for the fiscal year ending Monday, December 31, 2018

 

Exhibit 99.1

 

 

Horizon Technology Finance Provides Fourth Quarter 2018 Portfolio Update

 

- Originates $47.0 Million of New Loans -

 

- Third Consecutive Quarter of Portfolio Growth -

 

- Joint Venture Increases Assets, Opening Access to $100 Million Secured Facility -

 

Farmington, Connecticut – January 9, 2019 –

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 its portfolio update for the fourth quarter ended December 31, 2018.

 

“As anticipated, our fourth quarter was a very active and effective one at Horizon,” said Gerald A. Michaud, President of Horizon. “For the third consecutive quarter, we increased the size of our portfolio, buoyed by the origination of $47 million of new loans, which highlights the strong demand for our venture debt solutions. We also received full prepayment proceeds from three of our existing portfolio investments, providing us with solid returns and the potential for additional returns in the future through our retention of warrants.”

 

“In addition, we transferred three of our recent portfolio investments to our joint venture with Arena Investors, which further seeded the venture and, most importantly, allows it to begin accessing its $100 million senior secured debt facility,” added Mr. Michaud. “Along with the recent $25 million expansion of our credit facility with KeyBank, we have abundant capacity from which to fund new investments and grow our portfolio, leaving us well positioned to continue delivering long-term value for our shareholders.”

 

Originations

 

Horizon funded six loans in the fourth quarter of 2018 totaling $47.0 million:

 

·

$15.0 million to a new portfolio company, Mohawk Group, Inc., an artificial intelligence-powered e-commerce company that owns and operates brands relating to home and kitchen, appliances, electronics and beauty categories and also provides marketing strategies and intelligence for third party brands to optimize their sales on e-commerce marketplaces.

·

$10.0 million to a new portfolio company, a provider of high-speed, high-performance solid-state data storage array software.

·

$8.5 million to an existing portfolio company, The NanoSteel Company, Inc., a leader in nano-structured steel materials design.

·

$6.0 million to a new portfolio company, a leading cooking and home brand offering a curated shop and award-winning content to its growing, vibrant community.

·

$3.8 million to an existing portfolio company, HealthEdge Software, Inc., a provider of next-generation technology products to the health insurance market.

·

$3.8 million to an existing portfolio company, MacuLogix, Inc., a medical device company in the optometry and ophthalmology industry.

 

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The following information was filed by Horizon Technology Finance Corp (HRZN) on Wednesday, January 9, 2019 as an 8K 2.02 statement, which is an earnings press release pertaining to results of operations and financial condition. It may be helpful to assess the quality of management by comparing the information in the press release to the information in the accompanying 10-K Annual Report statement of earnings and operation as management may choose to highlight particular information in the press release.