- Runway Growth Capital will continue to operate independently
and serve as the external investment adviser to Runway Growth
Finance Corp. (Nasdaq: RWAY), with the current team remaining in
place
- Runway Growth Capital will leverage BC Partners Credit's
extensive platform, resources, and scale to accelerate capital
formation and diversify financing options for both investors and
borrowers
MENLO
PARK, Calif. and NEW
YORK, Jan. 30, 2025 /PRNewswire/ -- Runway
Growth Capital LLC ("Runway"), a leading provider of growth loans
to both venture and non-venture-backed companies seeking an
alternative to raising equity, and BC Partners Credit, the
$8 billion credit arm of BC Partners,
an approximately $40 billion AUM
alternative investment firm, today announced that they, along with
Mount Logan Capital, a Canadian alternative asset management
company internally managed by employees of BC Partners Credit,
closed a transaction whereby private investment funds advised by BC
Partners Credit, and Mount Logan Capital pursuant to its minority
investment, have acquired Runway Growth Capital LLC.
Runway will continue to serve as the investment adviser to
private investment funds and to Runway Growth Finance Corp.
(Nasdaq: RWAY) ("Runway Growth Finance"), a publicly-traded
business development company, under a new investment advisory
agreement. As previously announced, Runway's current officers,
senior management and investment personnel are expected to continue
to serve as officers and senior management.
Ted Goldthorpe, Head of BC
Partners Credit, said, "Combining Runway's expertise, network, and
track record in venture debt with the global scale and resources of
BC Partners Credit enables our combined firm to establish a
diversified presence in the venture debt ecosystem. Runway's
solutions are in high demand. We look forward to expanding Runway's
investment capabilities, on day one, and to Runway continuing to
drive returns for investors through attractive risk-adjusted
investments."
Runway Founder and Chief Executive Officer David Spreng commented, "Officially joining the
BC Partners Credit platform marks an exciting new chapter for
Runway and significantly contributes to our long-term vision of
providing financing solutions to high quality, late and
growth-stage companies. This transaction well positions Runway to
increase originations within our target investment range of
$30-150 million, expand our offerings
to target companies and sponsors, and enhance our financing
capabilities to support high-growth companies in the venture debt
and growth sectors. Following the receipt of required regulatory
antitrust approvals, our work with BC Partners Credit is well
underway, and we've already begun sharing insights and capabilities
to bolster originations. Looking ahead, we believe Runway is
positioned for growth, with more to offer borrowers than ever
before and a strengthened team that widens our network of VC and PE
sponsors."
Runway previously announced its definitive agreement with BC
Partners Credit in October 2024. For
additional information and investor materials, please visit the
Runway website at www.runwaygrowth.com.
Advisors
Oppenheimer & Co. Inc. acted as the exclusive financial
advisor to Runway Growth Capital LLC. Wachtell,
Lipton, Rosen & Katz acted as legal counsel to Runway Growth
Capital LLC and Eversheds Sutherland
(US) LLP acted as legal counsel to the independent directors of
Runway Growth Finance. Simpson Thacher & Bartlett LLP acted as
legal counsel to BC Partners.
About BC Partners & BC Partners Credit
BC Partners is a leading international investment firm in
private equity, private debt, and real estate strategies. BC
Partners Credit was launched in February
2017, with a focus on identifying attractive credit
opportunities in any market environment, often in complex market
segments. The platform leverages the broader firm's deep industry
and operating resources to provide flexible financing solutions to
middle-market companies across Business Services, Industrials,
Healthcare and other select sectors. For further information, visit
www.bcpartners.com/credit-strategy.
About Mount Logan Capital Inc.
Mount Logan Capital Inc. is an alternative asset management and
insurance solutions company that is focused on public and private
debt securities in the North American market and the reinsurance of
annuity products, primarily through its wholly owned subsidiaries
Mount Logan Management LLC ("ML Management") and Ability Insurance
Company ("Ability"), respectively. Mount Logan also actively
sources, evaluates, underwrites, manages, monitors and primarily
invests in loans, debt securities, and other credit-oriented
instruments that present attractive risk-adjusted returns and
present low risk of principal impairment through the credit cycle.
ML Management was organized in 2020 as a Delaware limited liability company and is
registered with the SEC as an investment adviser under the
Investment Advisers Act of 1940, as amended. Ability is a
Nebraska domiciled insurer and
reinsurer of long-term care policies and annuity products acquired
by Mount Logan in the fourth quarter of fiscal year 2021.
About Runway Growth Capital LLC
Runway Growth Capital LLC is the investment adviser to
investment funds, including Runway Growth Finance Corp. (Nasdaq:
RWAY), a business development company, and other private funds,
which are lenders of growth capital to companies seeking an
alternative to raising equity. Led by industry veteran David Spreng, these funds provide senior term
loans of a target of $30 million to
$150 million to fast-growing
companies based in the United
States and Canada. For more
information on Runway Growth Capital LLC and its platform, please
visit www.runwaygrowth.com.
About Runway Growth Finance Corp.
Runway Growth Finance is a growing specialty finance company
focused on providing flexible capital solutions to late- and
growth-stage companies seeking an alternative to raising equity.
Runway Growth Finance is a closed-end investment company that has
elected to be regulated as a business development company under the
Investment Company Act of 1940. Runway Growth Finance is externally
managed by Runway Growth Capital LLC, an established registered
investment adviser that was formed in 2015 and led by industry
veteran David Spreng. For more
information, please visit www.runwaygrowth.com.
Forward-Looking Statements
Some of the statements in this document constitute
forward-looking statements because they relate to future events,
future performance or financial condition. The forward-looking
statements may include statements as to future operating results of
Runway or Runway Growth Finance, and distribution projections;
business prospects of Runway or Runway Growth Finance, and the
prospects of Runway Growth Finance's portfolio companies; and the
impact of the investments that Runway Growth Finance expects to
make. In addition, words such as "anticipate," "believe," "expect,"
"seek," "plan," "should," "estimate," "project" and "intend"
indicate forward-looking statements, although not all
forward-looking statements include these words. The forward-looking
statements contained in this document involve risks and
uncertainties. Certain factors could cause actual results and
conditions to differ materially from those projected, including the
uncertainties associated with (i) the future operating results and
net investment income projections of Runway or Runway Growth
Finance; (ii) the ability of Runway or Runway Growth Capital and
their affiliates to attract and retain highly talented
professionals; (iii) the business prospects Runway or Runway Growth
Finance, and the prospects of Runway Growth Finance's portfolio
companies; (iv) the impact of the investments that Runway Growth
Finance expects to make; (v) the ability of the portfolio companies
of Runway Growth Finance to achieve their objectives; (vi) the
adequacy of the cash resources and working capital of Runway Growth
Finance; (vii) the timing of cash flows, if any, from the
operations of the portfolio companies of Runway Growth Finance; and
(viii) future changes in laws or regulations (including the
interpretation of these laws and regulations by regulatory
authorities). The forward-looking statements included in this
document are based on information available on the date hereof, and
Runway and Runway Growth Finance assume no obligation to update any
such forward-looking statements. Although Runway and Runway Growth
Finance undertake no obligation to revise or update any
forward-looking statements, whether as a result of new information,
future events or otherwise, you are advised to consult any
additional disclosures that they may make directly to you or
through reports that Runway Growth Finance in the future may file
with the SEC, including annual reports on Form 10-K, quarterly
reports on Form 10-Q and current reports on Form 8-K.
Important Disclosures
Investors considering an investment in Runway Growth Finance,
the business development company advised by Runway, should
carefully evaluate the investment objectives, investment
strategies, and various risks of investing in Runway Growth
Finance, which are not described in detail (or at all) in this
document. Please see a detailed discussion of these risk factors
and other related risks in Runway Growth Finance's most recent
annual report on Form 10-K in the section entitled "Risk Factors",
which may be obtained on Runway Growth Finance's website,
www.runwaygrowth.com, or the SEC's website, www.sec.gov.
No Offer or Solicitation
This document is not, and under no circumstances is it to be
construed as, a prospectus or an advertisement and the
communication of this document is not, and under no circumstances
is it to be construed as, an offer to sell or a solicitation of an
offer to purchase any securities in Runway Growth Finance or in any
fund or other investment vehicle managed by Runway, BC Partners, or
any of their affiliates
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SOURCE Runway Growth Capital LLC
