Hercules Capital (HTGC): what its 10-K says it depends on

Customers

Phathom Pharmaceuticals, Inc.

insures or lends to · 8.3%named as a risk

Phathom Pharmaceuticals, Inc. is a biopharmaceutical company focused on the development and commercialization of novel treatments for gastrointestinal diseases and disorders.Risk factors (Item 1A)

Marathon Health, LLC

insures or lends to · 8.2%named as a risk

Marathon Health, LLC is a provider of employer-sponsored healthcare platform intended to provide convenient and unhurried patient-centered care services.Risk factors (Item 1A)

Armis, Inc.

insures or lends to · 7.2%named as a risk

Armis, Inc. is the leading agentless, enterprise-class device security platform designed to address the new threat landscape of unmanaged and IoT devices.Risk factors (Item 1A)

ChenMed, LLC

insures or lends to · 5.8%named as a risk

ChenMed, LLC is a healthcare company that delivers value-based, primary care to seniors, focusing on prevention and personalized treatment.Risk factors (Item 1A)

Shield AI, Inc.

insures or lends to · 5.3%named as a risk

Shield AI, Inc. is an aerospace and defense technology company that designs and builds AI-powered, autonomous Unmanned Aerial Vehicles (UAVs) for national defense operations and military organizations.Risk factors (Item 1A)

Tipalti Solutions Ltd.

insures or lends to · 5.1%named as a risk

Tipalti Solutions Ltd. is a provider of an end-to-end accounts payable automation software platform for mid-market businesses and enterprises.Risk factors (Item 1A)

SeatGeek, Inc.

insures or lends to · 5.0%named as a risk

SeatGeek, Inc. is a mobile-focused ticket platform that enables users to buy and sell tickets for live sports, concerts and theater events.Risk factors (Item 1A)

Suppliers

Sumitomo Mitsui Banking Corporation (SMBC)

depends on · $277.9 millionnamed as a risk

As of December 31, 2025, we had $277.9 million and $168.0 million in borrowings under the SMBC Facility and MUFG Bank Facility, respectively, and approximately $1.52 billion in aggregate principal outstanding Notes.Risk factors (Item 1A)

Also named by ARES, BCSF

MUFG Bank, Ltd.

depends on · $168.0 millionnamed as a risk

As of December 31, 2025, we had $277.9 million and $168.0 million in borrowings under the SMBC Facility and MUFG Bank Facility, respectively, and approximately $1.52 billion in aggregate principal outstanding Notes.Risk factors (Item 1A)

Partners and platforms

Venture capital and private equity sponsors

depends onnamed as a risk

Our business model depends to a significant extent upon strong referral relationships for investment opportunities.Risk factors (Item 1A)

Other companies

Application Software industry

concentrated in · 24.3%named as a risk

As of December 31, 2025, approximately 87.1% of the fair value of our portfolio comprised investments in five industries: 24.3% comprised investments in the "Application Software" industry, 23.3% comprised investments in the "Drug Discovery & Development" industry,18.8% comprised investments in the "Healthcare Services, Other" industry, 10.6% in the "System Software" industry, and 10.1% comprised investments in the "Consumer & Business Services" industry.Risk factors (Item 1A)

Drug Discovery & Development industry

concentrated in · 23.3%named as a risk

As of December 31, 2025, approximately 87.1% of the fair value of our portfolio comprised investments in five industries: 24.3% comprised investments in the "Application Software" industry, 23.3% comprised investments in the "Drug Discovery & Development" industry,18.8% comprised investments in the "Healthcare Services, Other" industry, 10.6% in the "System Software" industry, and 10.1% comprised investments in the "Consumer & Business Services" industry.Risk factors (Item 1A)

Healthcare Services industry

concentrated in · 18.8%named as a risk

As of December 31, 2025, approximately 87.1% of the fair value of our portfolio comprised investments in five industries: 24.3% comprised investments in the "Application Software" industry, 23.3% comprised investments in the "Drug Discovery & Development" industry,18.8% comprised investments in the "Healthcare Services, Other" industry, 10.6% in the "System Software" industry, and 10.1% comprised investments in the "Consumer & Business Services" industry.Risk factors (Item 1A)

System Software industry

concentrated in · 10.6%named as a risk

As of December 31, 2025, approximately 87.1% of the fair value of our portfolio comprised investments in five industries: 24.3% comprised investments in the "Application Software" industry, 23.3% comprised investments in the "Drug Discovery & Development" industry,18.8% comprised investments in the "Healthcare Services, Other" industry, 10.6% in the "System Software" industry, and 10.1% comprised investments in the "Consumer & Business Services" industry.Risk factors (Item 1A)

Consumer & Business Services industry

concentrated in · 10.1%named as a risk

As of December 31, 2025, approximately 87.1% of the fair value of our portfolio comprised investments in five industries: 24.3% comprised investments in the "Application Software" industry, 23.3% comprised investments in the "Drug Discovery & Development" industry,18.8% comprised investments in the "Healthcare Services, Other" industry, 10.6% in the "System Software" industry, and 10.1% comprised investments in the "Consumer & Business Services" industry.Risk factors (Item 1A)

IPO and M&A markets

named as a risk

IPO activity has remained stagnant over the last several years and this trend may remain for the foreseeable future.Risk factors (Item 1A)

Places

Foreign portfolio companies

insures or lends to · approximately $430.7 million or 9.6% of total investmentsnamed as a risk

Our total investments at fair value in foreign companies were approximately $430.7 million or 9.6% of total investments as of December 31, 2025.Risk factors (Item 1A)

Commodities and inputs

Secured Overnight Financing Rate (SOFR)

exposed to its price · 97.9%named as a risk

As of December 31, 2025, approximately 97.9% of the loans in our portfolio had floating rates with a floor, indexed to Prime, SOFR, or SONIA.Market risk (Item 7A)

Also named by ABR, ADBE, AGM, AMG, ARCC, BCSF, BRO, CAT and 21 more

U.S. Prime Rate

exposed to its price · 84.0% of the loan portfolionamed as a risk

The majority of our loans are linked to the Prime rate and comprise 84.0% of the loan portfolio as of December 31, 2025.Market risk (Item 7A)

Also named by SYF, TRIN

British Pound

exposed to its pricenamed as a risk

During the year ended December 31, 2025, we have entered into a foreign currency forward contract to limit our foreign currency exposure with respect to the British Pound.Market risk (Item 7A)

Also named by ABBV, ADBE, AJG, AME, AMP, APA, BF/B, BRO and 39 more

Regulators

U.S. Small Business Administration (SBA)

subject to · $175.0 million of SBIC debentures outstandingnamed as a risk

Our wholly owned subsidiaries HC IV and SBIC V, each have $175.0 million of SBIC debentures outstanding.Risk factors (Item 1A)

Also named by AUB, CASH, CSWC, CUBI, FDUS, MAIN, RLI

U.S. Food and Drug Administration (FDA)

named as a risk

Moreover, the process for obtaining regulatory approval by the FDA or other governmental regulatory authorities is long and costly and there can be no assurance that the necessary approvals will be obtained or maintained.Risk factors (Item 1A)

Also named by A, ABBV, ABT, AMGN, ARE, ARWR, ATR, AXGN and 112 more

Laws and programs

Investment Company Act of 1940

subject to · at least 70% of our total assetsnamed as a risk

We are an internally managed, non-diversified closed-end investment company that has elected to be regulated as a business development company under the Investment Company Act of 1940 (the “1940 Act”).Business (Item 1)

Also named by ABR, AMG, AMP, ARCC, ARES, BAM, BCSF, BEN and 28 more

Regulated investment company (RIC) status under Subchapter M of the Internal Revenue Code

subject to · at least 90%named as a risk

We will be subject to U.S. federal income tax if we are unable to qualify for taxation as a RIC under Subchapter M Part I of the Code.Risk factors (Item 1A)

Also named by BCSF

Medicare

named as a risk

The ability of many pharmaceutical companies to commercialize current and any future products depends in part on the extent to which reimbursement for the cost of such products and related treatments are available from third party payors, such as Medicare, Medicaid, private health insurance plans and health maintenance organizations.Risk factors (Item 1A)

Also named by ABT, ARWR, AXGN, BAX, BDX, BMY, BSX, CAH and 48 more

Small Business Investment Act of 1958

subject tonamed as a risk

Our SBIC subsidiaries are subject to regulation by the Small Business Investment Act of 1958, as amended, and SBA regulations governing SBICs.Business (Item 1)

Also named by CSWC, FDUS, MAIN

China retaliatory tariffs

named as a risk

Some foreign governments, including China, have instituted retaliatory tariffs on certain U.S. goods.Risk factors (Item 1A)

Also named by GNTX, TER

Investment Advisers Act of 1940

subject to

The Adviser Subsidiary, which is wholly owned by us, is subject to regulation under the Advisers Act.Business (Item 1)

Also named by ABR, AMG, BAM, BEN, BX, CG, KKR, MAIN and 3 more

SEC Rule 18f-4

subject to

We intend to operate under the limited derivatives user exemption of Rule 18f-4 and have adopted written policies and procedures reasonably designed to manage our derivatives risk pursuant to Rule 18f-4.Risk factors (Item 1A)

Also named by CGBD, FDUS, FSK, MAIN, TSLX