Closes Acquisition of SWK Holdings Corporation, Expanding Healthcare and Life Sciences Exposure and Scaling Platform
Completed four investments in new and existing portfolio companies, representing $17.6 million of funded investments
Menlo Park, California, April 07, 2026 (Globe Newswire) – Runway Growth Finance Corp. (Nasdaq: RWAY), (“Runway Growth” or the “Company”), a leading provider of flexible capital solutions for late- and growth-stage companies seeking equity raising options, today announced that it has completed its previously announced acquisition of SWK Holdings Corporation (“SWK” or “SWK Holdings”). Additionally, the company today provided an operational and portfolio update for the quarter ending March 31, 2026, as well as an update on changes to the investment team.
David Spreng, Founder and CEO of Runway Growth, said, “We are pleased to announce the successful completion of our acquisition of SWK, which represents a meaningful step in furthering our ongoing portfolio optimization and diversification strategy. This transaction increases our scale, deepens our investment capabilities in health care and life sciences, and further diversifies our portfolio. Specifically, our investment advisor provided an additional $9.0 as consideration to SWK’s shareholders. “The commitment to deliver $100 million in cash highlights the team’s confidence. The strength of our platform against the current macro backdrop, as well as its alignment with BDC and its shareholders, we believe we are well-positioned to build out our diversified portfolio and take advantage of the opportunity across sectors.”
Acquisition of SWK Holdings Corporation
SWK’s acquisition of Runway Growth, a life sciences-focused specialty finance company that provides minimally dilutive financing to small and medium-sized commercial-scale health care companies, closed on April 6, 2026. The final purchase price for the transaction was $249.0 million, consisting of $75.5 million in Runway Growth shares, valued at a NAV per share of $11.93, and $173.5 million in cash. This acquisition is expected to be accretive to net investment income and enhance the company’s earnings power, supporting better dividend coverage and long-term return potential.
As previously reported, the total merger consideration was determined based on SWK’s closing NAV, which was calculated 48 hours prior to closing (except Sundays and holidays) and reflected its accumulated earnings between June 30, 2025 and closing. Additionally, Runway Growth Capital LLC (“Runway Growth Capital”), as Runway Growth’s outside investment advisor, contributed $9.0 million in cash to SWK’s stockholders in addition to the consideration described in the previous paragraph.
This transaction expands Runway Growth’s balance sheet to $1.2 billion in total assets on a pro forma basis, solidifying its position as a scaled platform within the venture debt market. The transaction increases the proportion of health care and life sciences investments within the portfolio to approximately 32%, from 14% as of December 31, 2025, accelerating diversification into a large and growing end market.
Consultant
Simpson Thacher & Bartlett LLP acted as legal advisor to Runway Growth in connection with the transaction.
Stifel Co. Keefe, Bruyette & Woods served as lead financial advisor to SWK in connection with the transaction. Goodwin Procter LLP acted as legal advisor to SWK.
portfolio update
enforcements
During the first quarter of 2026, Runway Growth funded four investments totaling $17.6 million: one investment in a new portfolio company and three investments in existing portfolio companies. These include:
- HR Pharmaceuticals Inc. (dba “HR Healthcare”), completing a new investment of $7.5 million, consisting of approximately $5.5 million of debt financing, as well as $2.0 million of preferred equity financing. HR Healthcare is a founder-owned medical products platform specializing in the development, manufacturing and supply of branded, consumable products to the acute and home care markets; And
- Completing follow-on investments totaling $10.1 million for three existing portfolio companies.
- The company founded 13 Cents Inc. (dba “Dosier”) also completed an additional loan commitment of $46.3 million. Dozier is a digital-native fragrance brand founded in 2018, which sells both “Impressions” (inspired by) and its growing “Original” (in-house) fragrances. The commitment will be partially funded in the second quarter of 2026.
liquidity events
During the first quarter of 2026, Runway Growth experienced the following liquidity events, totaling $19.0 million in its investment portfolio:
- MoxiMed, Inc. Full principal repayment of the Company’s senior secured term loan of $15.0 million;
- $0.3 million partial principal repayment of the Company’s senior secured term loan to Sheppard Intermediate, LLC (dba Federal Hearings and Appeals Services, “FHAS”);
- other scheduled loan principal amortization payments of $1.7 million; And
- Pivot3 Inc. Proceeds of $2.0 million from the sale of assets of Rs.
Portfolio creation and management
Runway Growth is a credit-first organization, carefully structured to focus on the highest quality, late-stage companies in the venture debt market. The Company seeks to maintain industry-leading investment standards as well as disciplined underwriting and monitoring of its portfolio. Runway Growth is positioned as a preferred lender in the venture lending sector, supporting and working closely with companies to help them reach their full growth potential. Since inception, the company has focused on the fastest growing sectors of the economy, including healthcare, technology, and select consumer services and product industries.
As of March 31, 2026, the Runway Growth portfolio consisted of 44 debt investments in 32 portfolio companies and 71 equity investments in 47 portfolio companies, including 23 portfolio companies where Runway Growth has both debt and equity investments. Investments included late- and growth-stage businesses in the technology, health care, and select consumer services and products industries. Runway Growth’s normal business operations involve frequent communication with portfolio companies.
investment team update
We are also announcing that CEO and Founder David Sprang has returned to the position of Chief Investment Officer, effective immediately. Investment committee members are David Sprang, Tom Ratterman, CFO and COO, and Patrick Schaefer, Partner, BC Partners Credit.
About Runway Growth Finance Corp.
Runway Growth is a specialty finance company focused on providing flexible capital solutions to late-stage and growth-stage companies looking to raise equity. Runway Growth is a closed-end investment fund that elected to be regulated as a business development company under the Investment Company Act of 1940, as amended. Runway Growth is externally managed by Runway Growth Capital LLC, an affiliate of BC Partners Advisors LP and led by industry veteran David Sprang. For more information please visit www.runwaygrowth.com.
forward-looking statements
The statements contained herein may be “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995, as amended. Statements other than statements of historical fact included in this press release may be forward-looking statements and are not guarantees of future performance, condition or results and involve a number of risks and uncertainties. Actual results may differ materially from the forward-looking statements as a result of a number of factors, including the results described from time to time in Runway Growth’s filings with the Securities and Exchange Commission. Runway Growth undertakes no duty to update any forward-looking statements made herein. All forward-looking statements speak only as of the date of this press release.
no offer or request
This press release is not intended to be, and under no circumstances should it be construed as, a prospectus or advertisement and the communication of this press release should not be construed as a solicitation of an offer to buy or sell any securities in any fund or other investment vehicle managed by Runway Growth, SWK or Runway Growth Capital LLC, BC Partners Advisors LP or any of their affiliates.
important revelations
The strategies described in this press release involve special risks that should be carefully evaluated before deciding to invest. Not all risks and other important aspects of these strategies are discussed here. Please see a more detailed discussion of these risk factors and other related risks in the Company’s latest annual report on Form 10-K in the section titled “Risk Factors”, which can be obtained on the Company’s website. www.runwaygrowth.comor SEC website, www.sec.gov.
IR Contact:
Taylor Donahue, Prosec Partners, (email protected)
Thomas B. Ratterman, Chief Financial Officer and Chief Operating Officer, (email protected)