Hercules Technology Growth Capital, Inc. (NASDAQ:HTGC), the premier specialty finance company providing venture debt and equity to venture capital and private equity backed technology and life science companies at all stages of development, today announced that it provided $15 million in buyout financing to JAB Wireless, Inc., on December 21, 2007. JAB Wireless serves as the parent company to a variety of brands in the fixed wireless space that provide VoIP and high-speed Internet services.
The late-stage company is one of the largest firms in the extremely fragmented fixed wireless industry. JAB Wireless’ businesses provide high-speed, broadband Internet connections and VoIP services that bypass the need for cable and telephone companies to provide these services.
“As the fixed wireless space begins to rapidly consolidate, JAB Wireless is leading this first wave of industry consolidation,” said Kevin Grossman, managing director at Hercules. “In addition, the company is backed by a management team with a long resume of experience in buy-and-build strategies in the telecom space. We have a great deal of confidence in this team not only because of its technological proficiency but, more importantly, due to its strong, disciplined operational expertise.”
Grossman added that financing JAB Wireless represents another example of Hercules’ late-stage growth capital offering.
“JAB Wireless continues to achieve great success through our proven buy-and-build strategy in the fixed wireless industry,” said James Vaughn, CEO of JAB Wireless. “Hercules’ debt financing will help support this strategy of organic growth and acquisitions to help grow our subscriber base.”
About Hercules Technology Growth Capital, Inc.:
Hercules Technology Growth Capital, Inc. is a NASDAQ traded specialty finance company providing debt and equity growth capital to technology and life science companies at all stages of development. Founded in December 2003, the company primarily finances privately held companies backed by leading venture capital and private equity firms. Hercules invests in a broad range of ventures active in technology and life science industries and offers a full suite of growth capital products up and down the capital structure. The company is headquartered in Palo Alto, Calif. and has additional offices in the Boston, Boulder, Los Angeles and Chicago areas. Providing capital to publicly-traded or privately-held companies backed by leading venture capital and private equity firms involves a high degree of credit risk and may result in potential losses of capital. For more information, please visit www.HTGC.com.
About JAB Wireless, Inc.:
JAB Wireless, Inc. is a parent company to fixed wireless providers delivering high speed broadband and VoIP services to residential and business customers in the Western United States. JAB Wireless commenced operations in May 2006 and is headquartered in Greenwood Village, Colorado. For more information, please contact the company at www.jabbroadband.com.
Forward-Looking Statements:
The statements contained in this release that are not purely historical are forward-looking statements. These forward-looking statements are not guarantees of future performance and are subject to uncertainties and other factors that could cause actual results to differ materially from those expressed in the forward-looking statements including, without limitation, the risks, uncertainties and other factors we identify from time to time in our filings with the Securities and Exchange Commission. Although we believe that the assumptions on which these forward-looking statements are reasonable, any of those assumptions could prove to be inaccurate and, as a result, the forward-looking statements based on those assumptions also could be incorrect. You should not place undue reliance on these forward-looking statements. The forward-looking statements contained in this release are made as of the date hereof, and Hercules assumes no obligation to update the forward-looking statements for subsequent events.