Buy Hercules Tech Growth Capital Instead Of OCZ Tech
With the recent deal where Hercules Technology Growth Capital (HTGC) lent up to $30M to OCZ Technology (OCZ)
for a load of warrants, investors might be better off investing with
the BDC that got the sweet deal. The temptation in this scenario is to
buy the low-priced technology stock hoping for a large rebound.
With the BDC sector heating up, as investors are attracted to the high yields, Hercules Tech Growth Capital has mostly flown under the radar. The company provides a solid 8% yield while the investment in a public company provides more visibility than the normal unknown private firm. It focuses on providing senior secured loans to venture capital-backed companies in technology-related markets.
Read the full article at Seeking Alpha.
Disclosure: No positions mentioned. Please review the disclaimer page for more details.
With the BDC sector heating up, as investors are attracted to the high yields, Hercules Tech Growth Capital has mostly flown under the radar. The company provides a solid 8% yield while the investment in a public company provides more visibility than the normal unknown private firm. It focuses on providing senior secured loans to venture capital-backed companies in technology-related markets.
Read the full article at Seeking Alpha.
Disclosure: No positions mentioned. Please review the disclaimer page for more details.