Horizon Technology Finance Management, a Farmington, Conn.-based venture debt provider, has secured $200 million in new capital. Compass Group Investments provided $50 million in equity, while WestLB provided a $150 million credit facility.
Horizon Technology Finance Management (“Horizon”), a leading venture debt provider to venture capital backed, development stage, life science and technology companies announced today that it has secured $200 million in new capital, including a $50 million equity investment from Compass Group Investments, Ltd (“Compass”) and a $150 million credit facility provided by WestLB AG. As a result of the new investment Horizon and Compass have formed Compass Horizon Funding Company LLC (“Funding”) to fund new investments originated by Horizon.
Over the past four years Horizon and its affiliates have committed more than $600 million in venture lending transactions to over 80 venture capital backed life science and technology companies.
Robert D. Pomeroy, Jr., CEO of Horizon, commented “The creation of Compass Horizon Funding Company and the closing of the WestLB Credit Facility, combined with our existing funding capabilities, ensure that Horizon will have sufficient capital to meet new loan demand over the next several years and provide us with the ability to grow our investment platform.”
Gerald A. Michaud, President of Horizon, added, “This new capital will enhance Horizon's ability to provide creative financing solutions to our core technology and life science markets. Our customers will find us able to be even more flexible and responsive to their borrowing needs.”
I. Joseph Massoud, Managing Partner of Compass Group Management LLC, said “In backing Horizon, we believe we have backed the leading venture debt lender in the market. Horizon's management team has demonstrated an ability to originate, underwrite and manage high quality venture debt portfolios. We are excited about our investment and the opportunity to build a premier venture lending franchise. This investment is also consistent with our desire to create cornerstone partnerships with niche leading managers across a variety of asset classes.”
Jon Hellbusch, Executive Director at WestLB, said “WestLB is pleased to be providing financing for Compass Horizon Funding Company, Horizon Technology Finance Management, one of the most experienced venture lending firms, and Compass Group Investments, Ltd., one of the leading private investment firms.”
Horizon Technology Finance Management, is an independent venture debt finance company that offers senior and subordinated working capital to emerging technology companies in the information technology and life sciences industries. Horizon provides a compelling alternative to the restrictive structures offered by banks and corporate finance companies.
Horizon's team has over 150 years of venture and commercial lending experience, with extensive knowledge, expertise and relationships to provide custom venture debt products and financing solutions to our customers. The Horizon management team has provided debt financing for more than 750 companies over the last 15 years representing more than $2.0 billion in commitments. Horizon has offices in Farmington, CT and Pleasant Hill, CA. For more information, please visit www.horizontechfinance.com .
About Compass Group Investments, Ltd.
Founded in 1998, Compass Group Investments, Ltd. and its investment advisor, Compass Group Management LLC ( www.compassequity.com ), are in the business of providing capital in support of leading managers across a variety of asset classes, both domestically and internationally. Compass Group Investments, Ltd. is an indirect subsidiary of the Kattegat Trust, a Bermudian trust whose sole beneficiaries are philanthropic entities.
About WestLB AG
WestLB AG is one of Germany's leading financial services providers and offers the full range of products and services of a universal bank, focusing on lending, structured finance, capital market and private equity products, private banking, asset management, transaction services and real estate finance. WestLB has total assets of EUR 280 billion, as of September 30, 2007. For more information, please visit www.westlbcapitalmarkets.com .