2022 in Review
Strong momentum, continued growth, and prudent underwriting were the key themes of 2022. Hercules Capital increased its aggregate debt investment portfolio by 27% to $2.8 billion. Leveraging the entire platform*, Hercules surpassed $3.1 billion in gross new debt and equity commitments for the year, setting a new record over previous years. Over the course of 2022, the platform* has completed over $1.4 billion in debt and equity fundings to new and existing portfolio companies.
*The Hercules platform refers to Hercules Capital, Inc. ("Hercules Capital") and external funds managed by Hercules Adviser LLC ("Hercules Adviser").
Hercules added 50 new portfolio companies in 2022 and now has demonstrated the ability to provide a wide range of debt commitments between $5 million and $275 million. Amid an active venture capital ecosystem combined with an environment of rising interest rates and volatile equity markets, Hercules remains well positioned to serve as the partner of choice for companies seeking creatively structured financing alternatives.
During the year we further strengthened our balance sheet and liquidity position to support continued growth. In June, Hercules Capital completed two institutional debt financings for a total of $200 million and expanded its credit facilities from $500 million to $770 million. After receiving a new Investment Grade Credit and Corporate Rating from Fitch in May, Hercules Capital now has four investment grade credit ratings.
We celebrate our successes with gratitude for the portfolio company and partner relationships that have made them possible. In the year ahead, we devote ourselves to continuing to empower innovators and serve growth-stage companies with a disciplined approach and commitment to reliable support.
The Hercules Platform*
By the Numbers
Over $3.1 Billion New Committed Debt & Equity Capital
New Portfolio Companies
Total Active Loan Portfolio Companies**
IPO and M&A Events***
Over $5.5 Billion Total New Capital Raised by Portfolio Companies
$3.0 Billion Total Assets Under Management**
**As of 12/31/2022 based on investments at cost
***Includes reverse mergers into publicly traded entities
Technology Portfolio Activity in 2022*
$1.2+ Billion New Committed Debt & Equity Capital
New Portfolio Companies
IPO and M&A Events
$2.0+ Billion Total New Capital Raised by Portfolio Companies
Featured Deals
In Q1 2022, Convoy, the nation’s leading digital freight network, secured a $100 million debt commitment from Hercules*. In April 2022, Convoy announced that it had raised a $160 million Series E round.
VideoAmp, an advertising measurement, planning and optimization platform, secured a $75 million debt commitment from Hercules* in Q1 2022.
In Q2 2022, Locus Robotics, the leader in autonomous mobile robots for fulfillment and distribution, secured a $60 million debt commitment from Hercules*. In November 2022 the company announced a $117 million Series F funding, bringing its valuation to close to $2 Billion.
Automation Anywhere, the #1 leader in cloud-native intelligent automation, secured a $61.25 million debt commitment from Hercules* in Q3 2022.
*Includes Hercules Capital and external funds managed by Hercules Adviser
All company names, logos, and brands are property of their respective owners.
Life Sciences Portfolio Activity in 2022*
$1.8+ Billion New Committed Debt & Equity Capital
New Portfolio Companies
IPO and M&A Events
$3.5+ Billion Total New Capital Raised by Portfolio Companies
Featured Deals
In Q1 2022, Tarsus Pharmaceuticals, a late clinical-stage biopharmaceutical company that is meeting patient needs with revolutionary therapies, secured a $112.5 million debt commitment from Hercules*.
In May 2022 Tarsus announced the closing of an upsized $75.6 million underwritten public offering of common stock, in which Hercules* participated.
Madrigal Pharmaceuticals, a clinical-stage biopharmaceutical company pursuing novel therapeutics for nonalcoholic steatohepatitis (NASH), secured a $175 million debt commitment from Hercules* in Q2 2022.
In December 2022 the company announced that it had raised $259 million in gross equity from equity securities issuances.
In Q3 2022, Iveric Bio, a biopharmaceutical company focused on the discovery and development of novel treatments for retinal diseases, secured a $160 million debt commitment from Hercules*.
The company completed a $300.4 million public offering of common stock in November 2022.
Provention Bio, a biopharmaceutical company dedicated to intercepting and preventing immune-mediated diseases, secured a $100 million debt commitment from Hercules* in Q3 2022.
In July 2022 the company announced a $60 million private placement.
*Includes Hercules Capital and external funds managed by Hercules Adviser
All company names, logos, and brands are property of their respective owners.
Ventured Growth Podcast
Hercules Capital’s Ventured Growth podcast features conversations with today’s top CEOs, CFOs, and investors in the venture and private equity ecosystem. Learn about their strategies for financing rapid growth and scaling their businesses, as well as their unique interests and life stories that have shaped their paths to success. A few of the episodes from 2022 include:
Christine Tao
Coaching Leaders for Business Impact
Christine Tao is the Co-founder and CEO of Sounding Board, a venture-backed startup that recently raised $30 million in Series B funding.
Listen
Raj Verma
Leading with a Servant’s Heart
Raj Verma is the CEO at SingleStore, a database management system that helps modern applications be fast, frictionless, and flexible.
Listen
Marco Zappacosta
Building a Platform for Modern Home Care
Marco Zappacosta is the co-founder and CEO of Thumbtack, the technology leader building the modern home management platform.
Listen
Community Outreach
Hercules deeply cares for the community and gives back where and when we can. We believe that working together towards a common goal brings the best results. Charities that we are supporting as an organization include:
