Hercules Capital’s $125 Acquisition of Ares Capital Corporation’s Venture Lending Portfolio Assets


Dechert LLP represented Hercules Capital, Inc. (NYSE: HTGC), the leading specialty finance company to innovative, venture growth, pre-IPO and M&A stage companies backed by leading venture capital firms, in connection with its acquisition of select venture loan assets for approximately $125.0 million from Ares Capital Corporation (NASDAQ: ARCC).

The parties entered into a definitive asset purchase agreement and consummated the transactions on November 1, 2017. The all-cash transaction is expected to reinforce Hercules Capital’s position as the largest venture lending business development company in the United States, with total assets in excess of $1.5 billion.

The Dechert team advising Hercules includes corporate partners Jay Alicandri (Picture), Ian Hartman and Martin Nussbaum and associates Michael Darby and Sam Burum (corporate), partner William Bielefeld (financial services) and partner Ari Zak and associate Kenneth C. Wang (tax).

Involved fees earner: Ian Hartman – Dechert; Martin Nussbaum – Dechert; Sam Burum – Dechert; Michael Darby – Dechert; Jay Alicandri – Dechert; Ari Zak – Dechert; Kenneth Wang – Dechert; William Bielefeld – Dechert;

Law Firms: Dechert;

Clients: Hercules Capital, Inc.;