WOODSIDE, Calif., April 14, 2021 /PRNewswire/ -- Runway Growth
Credit Fund Inc. (the "Fund" or "Runway Growth"), a leading
provider of growth loans to both venture and non-venture backed
companies seeking an alternative to raising equity, provided an
operational and portfolio update for the first quarter ended
March 31, 2021.
"Investment activity continued at pace during the first quarter.
We completed $53.3 million in loans
to and other investments in new and existing portfolio companies
during the first quarter. We are seeing strong interest in our life
sciences vertical and demand for growth loans in the technology
sector is increasing," said Runway Growth CEO, David Spreng. "In a year challenged by economic
uncertainty, market volatility, and financial hardship, we are
pleased with the level of investment activity during the first
quarter and our continuing support of entrepreneurs and sponsors.
We continue to diversify and, during the first quarter, we expanded
our portfolio with $546.6 million in
loan principal outstanding to 22 companies across multiple
technology and life sciences sectors in North America and the United Kingdom."
Originations
Runway Growth funded seven loans during the first quarter ended
March 31, 2021, including two
investments in new portfolio companies and five follow-on
investments in existing portfolio companies, as follows:
- $25 million senior secured term
loan commitment to Allurion Technologies, Inc. ("Allurion"),
$15 million of which was funded at
close. Founded in 2009, Allurion is a medical device company that
has developed and sells an intragastric balloon and 360-degree
weight loss platform: the ElipseĀ® Program;
- $20 million senior secured term
loan commitment to Bombora, Inc. ("Bombora"), the entirety of which
was funded at close. Founded in 2014 and based in New York, NY, Bombora is a marketing
technology and data company that aggregates and provides purchase
intent data to B2B (business to business) marketers. Bombora has
created a data co-operative with 4,300+ publishers to aggregate
proprietary audience data;
- $15 million additional funding to
existing portfolio company Vero Biotech LLC; and
- $3.3 million advance to four
existing portfolio companies.
Liquidity Events
During the first quarter ended March 31,
2021, Runway Growth experienced the following partial
liquidity events totaling $15.5
million, including:
- In March, 3DNA Corp. d/b/a NationBuilder prepaid its
outstanding principal balance of $8.1
million including interest and fees; and
- In March, in conjunction with the Ouster, Inc. ("Ouster")
merger into special purpose acquisition company, Colonnade
Acquisition Corp. (NYSE: OUST), the Fund exercised its warrant in
Ouster and received approximately 1.2 million shares of OUST common
stock. During the quarter, Ouster repaid its outstanding principal
balance of $7.4 million including
interest and fees.
Further reflecting on the first quarter, Spreng added: "We are
gradually seeing a return to normalcy in our markets. We expect
loan demand to continue to grow throughout the year. During
2021, we expect that the Fund's loan commitments originated since
beginning operations in December 2016
will continue to increase. We are actively seeking new investment
opportunities and are engaging with entrepreneurs and sponsors to
deliver new capital to support growth and help them achieve their
goals."
About Runway Growth Capital LLC and Runway Growth Credit Fund
Inc.
Runway Growth Capital LLC is the investment advisor to Runway
Growth Credit Fund Inc., a provider of growth loans to companies
seeking an alternative to raising equity. Led by industry veteran
David Spreng, the Fund provides
senior term loans of $10 million to
$50 million to fast-growing companies
primarily based in the United
States and Canada. The Fund
is a closed-end investment fund that has elected to be regulated as
a business development company under the Investment Company Act of
1940. For more on the Fund and its manager, Runway Growth Capital
LLC, please visit our website at www.runwaygrowth.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,
including the impact of COVID-19 and related changes in base
interest rates and significant market volatility on our business,
our portfolio companies, our industry and the global economy.
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 Runway Growth's
filings with the Securities and Exchange Commission. Runway Growth
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.
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SOURCE Runway Growth Capital LLC