Hercules Capital Reports Fourth Quarter and Full-Year 2020 Financial Results
Q4 2020 Net Asset Value “NAV” per Share Increased 9.7% to $11.26 from Q3 2020
Q4 2020 Net Investment Income Provides 116% Coverage of Base Distribution Payout
Record FY 2020 Total Investment Income Increased 7.2% Year-over-Year
Record FY 2020 Net Investment Income Increased 9.7% Year-over-Year
Record Undistributed Earnings Spillover of $107.7 Million, or $0.94(1) per Ending Shares Outstanding
Record Available Liquidity of $673.3 Million
Q4 2020 Financial Achievements and Highlights
- Net Investment Income “NII” of $42.2 million, or $0.37 per share, an increase of 5.1% year-over-year
- Provides 116% coverage of base distribution payout
- Total Investment Income of $75.3 million, an increase of 6.7% year-over-year
- Q4 new debt and equity commitments of $150.8 million
- Q4 total gross fundings of $129.8 million
- Unscheduled early principal repayments or “early loan repayments” of $282.3 million
- $673.3 million of available liquidity, subject to existing terms and covenants
- 13.8% Return on Average Equity “ROAE” (NII/Average Equity)
- 6.6% Return on Average Assets “ROAA” (NII/Average Assets)
- GAAP leverage of 100.6% and regulatory leverage of 93.0%(2)
- Net Asset Value “NAV” increased to $11.26 from $10.26, up 9.7% from Q3 2020
- 13.3% GAAP Effective Yield and 11.8% Core Yield(3), a non-GAAP measure
Full-year ending December 31, 2020 Financial Achievements and Highlights
- Record Total Investment Income of $287.3 million, an increase of 7.2%, compared to $267.9 million for the 12 months ending December 31, 2019
- Record NII of $157.1 million, or $1.39 per share, an increase of 9.7%, compared to $143.3 million for the 12 months ending December 31, 2019
- New equity and debt commitments of $1.19 billion for the 12 months ending December 31, 2020
- Total fundings of $761.2 million for the twelve months ending December 31, 2020
- Record unscheduled early loan repayments of $709.0 million for the 12 months ending December 31, 2020
Footnotes:
(1) $0.95 per Weighted Average Shares Outstanding
(2) Regulatory leverage represents debt-to-equity ratio, excluding the Company’s Small Business Administration “SBA” debenture
(3) Core Yield excludes early loan repayments and one-time fees, and includes income and fees from expired commitments
PALO ALTO, Calif.–(BUSINESS WIRE)–Hercules Capital, Inc. (NYSE: HTGC) (“Hercules” or the “Company”), the largest and leading specialty financing provider to innovative venture, growth and established stage companies backed by some of the leading and top-tier venture capital and select private equity firms, today announced its financial results for the fourth quarter and full-year ended December 31, 2020.
“Despite the unique challenges of 2020, Hercules was able to reach several new financial and operating milestones,” stated Scott Bluestein, chief executive officer and chief investment officer of Hercules. “Notably, we closed over $1.0 billion in new debt and equity commitments for the third consecutive year, delivered record total investment income and net investment income, each growing 7.2% and 9.7%, respectively, and maintained the strong credit quality of our debt investment portfolio. In addition, during Q4 our portfolio generated net investment income in excess of our base shareholder distribution and this allowed us to declare a $0.05 supplemental distribution to our shareholders.”
Bluestein added, “Our Technology and Life Sciences segments continue to be well positioned throughout the COVID-19 pandemic. Access to liquidity for our portfolio companies continues to be strong as evidenced by record-breaking venture capital fundraising and investments in 2020.”
Bluestein concluded, “As Hercules enters 2021, we do so from a position of strength with record liquidity, conservative leverage and strong originations momentum. We made significant investments throughout 2020 in our team, infrastructure and systems. We added talent to all levels of the organization and made a series of investments in our technology and systems that we believe will best position us for future growth.”
Q4 2020 Review and Operating Results
Debt Investment Portfolio
Hercules delivered new debt and equity commitments totaling $150.8 million and gross fundings totaling $129.8 million.
During the fourth quarter, Hercules realized early loan repayments of $282.3 million, which along with normal scheduled amortization of $18.3 million, resulted in total debt repayments of $300.5 million.
The new debt investment origination and funding activities lead to a net debt investment portfolio decrease of ($184.2) million during the fourth quarter, on a cost basis.
The Company’s total investment portfolio, (at cost and fair value) by category, quarter-over-quarter is highlighted below:
Total Investment Portfolio: Q4 2020 to Q3 2020
| (in millions) | Debt | Equity & Inv. Funds | Warrants | Total Portfolio | ||||||||||||
| Balances at Cost at 9/30/20 | $ | 2,283.7 |
|
| $ | 193.3 |
|
| $ | 28.8 |
|
| $ | 2,505.8 |
| |
| New fundings(a) |
| 122.2 |
|
|
| 7.4 |
|
|
| 0.2 |
|
|
| 129.8 |
| |
| Warrants not related to Q4 2020 fundings |
| — |
|
|
| — |
|
|
| 0.1 |
|
|
| 0.1 |
| |
| Early payoffs(b) |
| (282.3 | ) |
|
| — |
|
|
| — |
|
|
| (282.3 | ) | |
| Principal payments received on investments |
| (18.3 | ) |
|
| — |
|
|
| — |
|
|
| (18.3 | ) | |
| Net changes attributed to conversions, liquidations, and fees |
| (5.8 | ) |
|
| (10.5 | ) |
|
| (3.4 | ) |
|
| (19.7 | ) | |
| Net activity during Q4 2020 |
| (184.2 | ) |
|
| (3.1 | ) |
|
| (3.1 | ) |
|
| (190.4 | ) | |
| Balances at Cost at 12/31/20 | $ | 2,099.5 |
|
| $ | 190.2 |
|
| $ | 25.7 |
|
| $ | 2,315.4 |
| |
|
|
|
|
|
|
|
| ||||||||||
|
|
|
|
|
|
|
| ||||||||||
| Balances at Value at 9/30/20 | $ | 2,264.5 |
|
| $ | 133.8 |
|
| $ | 22.5 |
|
| $ | 2,420.8 |
| |
| Net activity during Q4 2020 |
| (184.2 | ) |
|
| (3.1 | ) |
|
| (3.1 | ) |
|
| (190.4 | ) | |
| Net change in unrealized appreciation (depreciation) |
| 14.2 |
|
|
| 94.3 |
|
|
| 15.2 |
|
|
| 123.7 |
| |
| Total net activity during Q4 2020 |
| (170.0 | ) |
|
| 91.2 |
|
|
| 12.1 |
|
|
| (66.7 | ) | |
| Balances at Value at 12/31/20 | $ | 2,094.5 |
|
| $ | 225.0 |
|
| $ | 34.6 |
|
| $ | 2,354.1 |
| |
| (a) New fundings amount includes $604K fundings associated with revolver loans during Q4 2020. | ||||||||||||||||
| (b) Early payoffs include $3.64 million of paydowns on revolvers during Q4 2020. | ||||||||||||||||
Debt Investment Portfolio Balances by Quarter
| (in millions) | Q4 2020 | Q3 2020 | Q2 2020 | Q1 2020 | Q4 2019 | |||||
| Ending Balance at Cost | $2,099.5 |
| $2,283.7 |
| $2,278.9 |
| $2,242.9 |
| $2,170.1 | |
|
|
|
|
|
|
|
|
|
| ||
| Weighted Average Balance | $2,246.0 |
| $2,217.0 |
| $2,248.0 |
| $2,178.0 |
| $2,164.0 | |
Debt Investment Portfolio Composition by Quarter
| (% of debt investment portfolio) | Q4 2020 |
| Q3 2020 |
| Q2 2020 |
| Q1 2020 |
| Q4 2019 | |
|
|
|
|
|
|
|
|
|
| ||
| First Lien Senior Secured | 84.2% |
| 85.5% |
| 83.5% |
| 83.0% |
| 84.0% | |
|
|
|
|
|
|
|
|
|
| ||
| Floating Rate w/Floors | 96.9% |
| 97.9% |
| 97.9% |
| 97.8% |
| 97.4% | |
Effective Portfolio Yield and Core Portfolio Yield (“Core Yield”)
The effective yield on Hercules’ debt investment portfolio was 13.3% during Q4 2020, as compared to 12.6% for Q3 2020. The Company realized $282.3 million of early loan repayments in Q4 2020 compared to $190.8 million in Q3 2020, or an increase of 48.0%. Effective yields generally include the effects of fees and income accelerations attributed to early loan repayments, and other one-time events. Effective yields are materially impacted by the elevated or reduced levels of early loan repayments and derived by dividing total investment income by the weighted average earning investment portfolio assets outstanding during the quarter, which excludes non-interest earning assets such as warrants and equity investments.
Core yield, a non-GAAP measure, was 11.8% during Q4 2020, within the Company’s expected range of 11.0% to 12.0%, and increased compared to 11.3% in Q3 2020. Hercules defines core yield as yields that generally exclude any benefit from income related to early repayments attributed to the acceleration of unamortized income and prepayment fees and includes income from expired commitments.
Income Statement
Total investment income increased to $75.3 million for Q4 2020, compared to $70.6 million in Q4 2019, an increase of 6.7% year-over-year. The increase is primarily attributable to a higher weighted average debt investment balance and fee income from higher early loan repayments between periods.
Non-interest and fee expenses were $16.0 million in Q4 2020 versus $14.5 million for Q4 2019. The increase was due to higher general and administrative expenses, tax expenses and higher employee compensation expenses.
Interest expense and fees were $17.2 million in Q4 2020, compared to $16.0 million in Q4 2019. The increase was due to higher weighted-average borrowings between periods.
The Company had a weighted average cost of borrowings comprised of interest and fees, of 5.2% in Q4 2020, as compared to 5.0% for Q4 2019.
NII – Net Investment Income
NII for Q4 2020 was $42.2 million, or $0.37 per share, based on 113.9 million basic weighted average shares outstanding, compared to $40.1 million, or $0.38 per share, based on 105.6 million basic weighted average shares outstanding in Q4 2019. The increase is attributable to a higher average debt investment balance and fee income from higher early loan repayments offset by an increase in total operating expenses and lower core yields between periods.
Continued Credit Discipline and Strong Credit Performance
Hercules’ net cumulative realized gain/(loss) position, since its first origination activities in October 2004 through December 31, 2020, (including net loan, warrant and equity activity) on investments, totaled ($79.7) million, on a GAAP basis, spanning over 16 years of investment activities.
When compared to total new debt investment commitments during the same period of over $11.1 billion, the total realized gain/(loss) since inception of ($79.7) million represents approximately 72 basis points “bps,” or 0.72%, of cumulative debt commitments, or an effective annualized loss rate of 4.5 bps, or 0.04%.
Realized Gains/(Losses)
During Q4 2020, Hercules had net realized losses of ($14.7) million primarily from gross realized losses on the write-off or termination of equity, warrant and loan investments of ($22.4) million. These gross realized losses were offset by gross realized gains of $7.7 million due to the sale of the Company’s equity investments.
Unrealized Appreciation/(Depreciation)
During Q4 2020, Hercules recorded $123.7 million of net unrealized appreciation, all of which was net unrealized appreciation from our debt, equity and warrant investments.
Portfolio Asset Quality
As of December 31, 2020, the weighted average grade of the debt investment portfolio, at fair value, improved to 2.16, compared to 2.22 as of September 30, 2020, based on a scale of 1 to 5, with 1 being the highest quality. Hercules’ policy is to generally adjust the credit grading down on its portfolio companies as they approach their expected need for additional growth equity capital to fund their respective operations for the next 9-14 months. Various companies in the Company’s portfolio will require additional rounds of funding from time to time to maintain their operations.
Additionally, Hercules may selectively downgrade portfolio companies, from time to time, if they are not meeting the Company’s financing criteria, or underperforming relative to their respective business plans.
As of December 31, 2020, grading of the debt investment portfolio at fair value, excluding warrants and equity investments, was as follows:
| Credit Grading at Fair Value, Q4 2020 – Q4 2019 ($ in millions) | ||||||||||||||||||||||||||||||
| Q4 2020 | Q3 2020 | Q2 2020 | Q1 2020 | Q4 2019 | ||||||||||||||||||||||||||
| Grade 1 – High | $ | 411.0 |
| 19.6 | % |
| $ | 406.5 |
| 17.9 | % |
| $ | 443.6 |
| 20.1 | % |
| $ | 390.4 |
| 17.7 | % |
| $ | 387.3 |
| 18.0 | % | |
| Grade 2 | $ | 1,027.9 |
| 49.1 | % |
| $ | 1,053.1 |
| 46.5 | % |
| $ | 877.9 |
| 39.6 | % |
| $ | 818.1 |
| 37.3 | % |
| $ | 1,180.5 |
| 55.0 | % | |
| Grade 3 | $ | 621.3 |
| 29.7 | % |
| $ | 772.3 |
| 34.1 | % |
| $ | 849.7 |
| 38.3 | % |
| $ | 917.2 |
| 41.8 | % |
| $ | 509.9 |
| 23.7 | % | |
| Grade 4 | $ | 25.3 |
| 1.2 | % |
| $ | 26.7 |
| 1.2 | % |
| $ | 25.0 |
| 1.1 | % |
| $ | 54.3 |
| 2.5 | % |
| $ | 69.0 |
| 3.2 | % | |
| Grade 5 – Low | $ | 8.9 |
| 0.4 | % |
| $ | 5.9 |
| 0.3 | % |
| $ | 20.1 |
| 0.9 | % |
| $ | 15.5 |
| 0.7 | % |
| $ | 1.8 |
| 0.1 | % | |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||||||||
| Weighted Avg. |
| 2.16 |
|
|
|
| 2.22 |
|
|
|
| 2.30 |
|
|
|
| 2.34 |
|
|
|
| 2.15 |
|
| ||||||
Non-Accruals
Non-accruals increased as a percentage of the overall investment portfolio in the fourth quarter of 2020. As of December 31, 2020, the Company had seven (7) debt investments on non-accrual with an investment cost and fair value of approximately $31.0 million and $11.9 million, respectively, or 1.3% and 0.5% as a percentage of the Company’s total investment portfolio at cost and value, respectively.
Compared to September 30, 2020, the Company had five (5) debt investments on non-accrual with an investment cost and fair value of approximately $23.5 million and $6.2 million, respectively, or 0.9% and 0.3% as a percentage of the total investment portfolio at cost and value, respectively.
| Q4 2020 |
| Q3 2020 |
| Q2 2020 |
| Q1 2020 |
| Q4 2019 | ||
|
|
|
|
|
|
|
|
|
| ||
| Total Investments at Cost | $2,315.4 |
| $2,505.8 |
| $2,501.4 |
| $2,466.3 |
| $2,402.0 | |
|
|
|
|
|
|
|
|
|
| ||
| Loans on non-accrual as a % of Total Investments at Value | 0.5% |
| 0.3% |
| 0.5% |
| 0.0% |
| 0.0% | |
|
|
|
|
|
|
|
|
|
| ||
| Loans on non-accrual as a % of Total Investments at Cost | 1.3% |
| 0.9% |
| 2.4% |
| 0.8% |
| 0.4% |
Liquidity and Capital Resources
In November 2020, the Company announced a private offering totaling $100.0 million in aggregate principal amount of $50.0 million 4.50% Notes due March 2026 (the “March 2026 A Notes”) and $50.0 million 4.55% Notes due March 2026 (the “March 2026 B Notes”). The issuance of $50.0 million of the March 2026 A Notes occurred on November 4, 2020 and the issuance of $50.0 million of the March 2026 B Notes is expected to occur in March 2021.
The Company ended Q4 2020 with $673.3 million in available liquidity, including $198.3 million in unrestricted cash and cash equivalents, and $475.0 million in available credit facilities, subject to existing terms and advance rates and regulatory and covenant requirements.
During the three months ending December 31, 2020, the Company sold 306,000 shares of common stock under the equity ATM program, for total accumulated net proceeds of approximately $3.6 million, including $190,000 of offering expenses. During the twelve months ending December 31, 2020, the Company sold approximately 6.3 million shares of common stock, which were issued under the equity ATM program, for total accumulated net proceeds of approximately $77.2 million, including $1.0 of offering expenses, all accretive to net asset value. As of February 22, 2021, approximately 16.2 million shares remain available for issuance and sale under the Equity Distribution Agreement.
On October 27, 2020, HC IV was licensed to operate as a Small Business Investment Company (SBIC) under the SBA. This additional license has a 10-year term. The Company will gain access to $175 million of capital through the SBA debenture program, in addition to its regulatory capital contribution of $87.5 million to HC IV which will be used for investment purposes, subject to the issuance of a capital commitment by the SBA and customary procedures.
Bank Facilities
As of December 31, 2020, there were no outstanding borrowings under the Hercules’ $400.0 million committed credit facility with Union Bank as Agent and no outstanding borrowings under the Hercules’ $75.0 million committed credit facility with Wells Fargo Capital Finance.
Leverage
As of December 31, 2020, Hercules’ GAAP leverage ratio, including its Small Business Administration “SBA” debentures, was 100.6%. Hercules’ regulatory leverage, or debt-to-equity ratio, excluding its SBA debentures, was 93.0% and net regulatory leverage, a non-GAAP measure (excluding cash of approximately $198.3 million), was 77.6%. Hercules’ net leverage ratio, including its SBA debentures, was 85.3%.
Available Unfunded Commitments – Representing 6.9% of Total Assets
The Company’s unfunded commitments and contingencies consist primarily of unused commitments to extend credit in the form of loans to select portfolio companies. A portion of these unfunded contractual commitments are dependent upon the portfolio company reaching certain milestones in order to gain access to additional funding. Furthermore, the Company’s credit agreements contain customary lending provisions that allow us relief from funding obligations for previously made commitments. In addition, since a portion of these commitments may also expire without being drawn, unfunded contractual commitments do not necessarily represent future cash requirements.
As of December 31, 2020, the Company had $179.8 million of available unfunded commitments at the request of the portfolio company and unencumbered by any milestones, including undrawn revolving facilities, representing 6.9% of Hercules’ total assets. This decreased from the previous quarter of $242.5 million of available unfunded commitments or 9.7% of Hercules’ total assets.
Existing Pipeline and Signed Term Sheets
After closing $150.8 million in new debt and equity commitments in Q4 2020, Hercules has pending commitments of $248.0 million in signed non-binding term sheets outstanding as of February 18, 2021. Since the close of Q4 2020 and as of February 18, 2021, Hercules has closed new debt and equity commitments of $294.4 million and funded $196.3 million.
Signed non-binding term sheets are subject to satisfactory completion of Hercules’ due diligence and final investment committee approval process as well as negotiations of definitive documentation with the prospective portfolio companies. These non-binding term sheets generally convert to contractual commitments in approximately 90 days from signing. It is important to note that not all signed non-binding term sheets are expected to close and do not necessarily represent future cash requirements or investments.
Net Asset Value
As of December 31, 2020, the Company’s net assets were $1.29 billion, compared to $1.17 billion at the end of Q3 2020. NAV per share increased 9.7% to $11.26 on 114.7 million outstanding shares of common stock as of December 31, 2020, compared to $10.26 on 114.3 million outstanding shares of common stock as of December 31, 2020. The increase in NAV per share was primarily attributed to the net change in unrealized appreciation and earnings exceeding the distribution paid in Q4 of $0.05 per share.
Interest Rate Sensitivity
Hercules has an asset sensitive debt investment portfolio with 96.9% of its debt investment portfolio being priced at floating interest rates as of December 31, 2020, with a Prime or LIBOR-based interest rate floor, combined with 100% of its outstanding debt borrowings bearing fixed interest rates, leading to higher net investment income sensitivity.
Based on Hercules’ Consolidated Statement of Assets and Liabilities as of December 31, 2020, the following table shows the approximate annualized increase/(decrease) in components of net income resulting from operations of hypothetical base rate changes in interest rates, such as Prime Rate, assuming no changes in Hercules’ debt investments and borrowings. These estimates are subject to change due to the impact from active participation in the Company’s equity ATM program and any future equity offerings.
| (in thousands) | Interest | Interest | Net | EPS(2) | ||||||||||
| Basis Point Change | Income(1) | Expense | Income | |||||||||||
| (75) | $ | (9 | ) | $ | (83 | ) | $ | 74 | $ | – | ||||
| (50) | $ | (9 | ) | $ | (55 | ) | $ | 46 | $ | – | ||||
| (25) | $ | (9 | ) | $ | (28 | ) | $ | 19 | $ | – | ||||
| 25 | $ | 2,259 |
| $ | 28 |
| $ | 2,231 | $ | 0.02 | ||||
| 50 | $ | 4,517 |
| $ | 55 |
| $ | 4,462 | $ | 0.04 | ||||
| 75 | $ | 6,589 |
| $ | 83 |
| $ | 6,506 | $ | 0.06 | ||||
| 100 | $ | 8,907 |
| $ | 110 |
| $ | 8,797 | $ | 0.08 | ||||
| 200 | $ | 20,110 |
| $ | 221 |
| $ | 19,889 | $ | 0.17 | ||||
| (1) Source: Hercules Capital Form 10-K for Q4 2020 | ||||||||||||||
| (2) EPS calculated on basic weighted shares outstanding of 113,898. Estimates are subject to change due to impact from active participation in the Company’s equity ATM program and any future equity offerings. | ||||||||||||||
Existing Equity and Warrant Portfolio
Equity Portfolio
Hercules held equity positions in 59 portfolio companies with a fair value of $224.7 million and a cost basis of $189.9 million as of December 31, 2020. On a fair value basis, 61.6% or $138.3 million is related to existing public equity positions.
Warrant Portfolio
Hercules held warrant positions in 100 portfolio companies with a fair value of $34.6 million and a cost basis of $25.7 million as of December 31, 2020. On a fair value basis, 38.0% or $13.1 million is related to existing public warrant positions.
Portfolio Company IPO and M&A Activity in Q4 2020 and YTD 2021
IPO Activity
As of February 18, 2021, Hercules held debt, warrant or equity positions in two (2) portfolio companies that had completed their IPOs and five (5) companies that have entered into definitive agreements to go public via a special purpose acquisition company “SPAC,” including:
- In December 2020, Hercules portfolio company DoorDash, Inc. (NYSE: DASH), a technology company that connects customers with local and national businesses in more than 4,000 cities and all 50 states across the United States, Canada, and Australia, completed its initial public offering of 33.0 million shares of common stock at an initial public offering price of $102.00 per share on the New York Stock Exchange. Hercules currently holds 525,000 shares of common stock as of December 31, 2020.
- In December 2020, Hercules portfolio company 908 Devices Inc. (NASDAQ: MASS), a pioneer of purpose-built handheld and desktop mass spectrometer devices for chemical and biomolecular analysis, completed its initial public offering at an initial public offering price of $20.00 per share on the Nasdaq Global Market. Hercules initially committed $15.0 million in venture debt financing beginning in February 2017 and currently holds warrants for 49,078 shares of common stock as of December 31, 2020.
- In January 2021, Hercules portfolio company Achronix Semiconductor Corp., a semiconductor developer of FPGA and eFPGA devices, announced it has entered into a definitive agreement for a reverse merger initial public offering with ACE Convergence Acquisition Corp. (NASDAQ: ACEV), a special purpose acquisition company. Upon completion of the merger, Achronix will be listed on the Nasdaq Global Market under the ticker symbol “ACHX.” Hercules initially committed $38.0 million in venture debt financing beginning in June 2011 and currently holds warrants for 360,000 shares of Preferred Series C stock and 750,000 shares of Preferred Series D-2 stock as of December 31, 2020.
- In February 2021, Hercules portfolio company Wheels Up Partners LLC, a provider of subscription club memberships for private-jet flyers, announced it has entered into a definitive agreement for a reverse merger initial public offering with Aspirational Consumer Lifestyle Corp. (NYSE: ASPL), a special purpose acquisition company. Upon completion of the merger, the Wheels Up will be listed on the New York Stock Exchange under the ticker symbol “UP.” Hercules initially committed $23.0 million in venture debt financing beginning in December 2017.
- In January 2021, Hercules portfolio company Proterra, a leading commercial electric vehicle technology and manufacturing company, announced it has entered into a definitive agreement for a reverse merger initial public offering with ArcLight Clean Transition Corp. (NASDAQ: ACTC), a special purpose acquisition company. Upon completion of the merger, the Proterra will be listed on the Nasdaq Global Market under the ticker symbol “PTRA.” Hercules initially committed $30.0 million in venture debt financing beginning in May 2015 and currently holds warrants for 36,360 shares of common stock, warrants for 477,517 shares of Preferred Series 4 stock and 99,280 shares of Preferred Series 5 stock as of December 31, 2020.
- In February 2021, Nerdy, the parent company of Hercules portfolio company Varsity Tutors, a technology developer of an online tutoring platform, announced it has entered into a definitive agreement for a reverse merger initial public offering with TPG Pace Tech Opportunities (NYSE: PACE), a special purpose acquisition company. Upon completion of the merger, Nerdy will be listed on the New York Stock Exchange under the ticker symbol “NRDY.
Contacts
Michael Hara
Investor Relations and Corporate Communications
Hercules Capital, Inc.
650-433-5578
[email protected]
