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Hamilton Lane Announces Pricing of Public Offering of Class A Common Stock

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Hamilton Lane Incorporated (HLNE) announces a public offering of 1,922,322 shares of Class A common stock, raising approximately $210 million. The offering, managed by Morgan Stanley, aims to close on March 7, 2024, with proceeds intended for settling cash exchanges of membership units.
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The announcement by Hamilton Lane regarding the pricing of their public offering represents a strategic financial maneuver to raise capital. The expected gross proceeds of approximately $210 million from the sale of 1,922,322 shares of Class A common stock could signify an expansion or debt management strategy. Typically, a company may use such proceeds to invest in growth opportunities, repay debt, or fund other corporate expenses.

From an investor's perspective, the utilization of proceeds to settle cash exchanges of membership units might suggest a consolidation of ownership or an effort to streamline the equity structure of the company. This can potentially lead to increased financial stability or prepare the company for future strategic moves. However, investors should consider the dilutive effect of the new shares on earnings per share (EPS) and whether the expected use of proceeds justifies this dilution.

Hamilton Lane's decision to engage in a public offering is a significant event that warrants attention from the market. The role of Morgan Stanley as the sole book-running manager and underwriter indicates confidence in the offering's success. The firm's choice to go through an underwritten public offering rather than a private placement or direct listing suggests a desire for a structured and potentially less volatile capital raise.

Market participants should assess the timing of the offering and its size relative to the firm's market capitalization. The offering's success and the market's reception could influence Hamilton Lane's stock price and investor sentiment. The broader market conditions, including interest rates and the performance of the asset management sector, should also be considered as they can impact investor appetite for such offerings.

Hamilton Lane's public offering is conducted under an effective shelf registration statement, which allows them to offer and sell securities to the public without the need for a separate registration for each act of offering. This method provides Hamilton Lane with the flexibility to raise capital more efficiently over time. However, it is crucial to note that this press release does not constitute an offer to sell or a solicitation of an offer to buy, adhering to legal norms to prevent any unlawful sale of securities.

Prospective investors and stakeholders should be mindful of the legal framework governing such offerings, including the SEC's regulations. The availability of offering documents for free on the SEC's website ensures transparency and allows for thorough due diligence, which is essential for informed investment decisions.

CONSHOHOCKEN, Pa., March 4, 2024 /PRNewswire/ -- Private markets asset management firm Hamilton Lane Incorporated (Nasdaq: HLNE) ("Hamilton Lane") today announced the pricing of an underwritten public offering by Hamilton Lane and a selling stockholder of 1,922,322 shares of Class A common stock, in the aggregate, for gross proceeds of approximately $210 million. The offering is expected to close on March 7, 2024, subject to customary closing conditions.

Hamilton Lane intends to use the proceeds from the sale of its shares to settle in cash exchanges of membership units in Hamilton Lane Advisors, L.L.C. held by certain of its members.  Hamilton Lane will not receive any proceeds from the sale of shares by the selling stockholder.

Morgan Stanley is acting as sole book-running manager and underwriter for this offering. The offering is being made pursuant to an effective shelf registration statement (Registration No. 333-258567), including a prospectus and related prospectus supplement, filed by Hamilton Lane with the Securities and Exchange Commission ("SEC"). These documents may be obtained for free by visiting the SEC's website at http://www.sec.gov or by contacting:

Morgan Stanley & Co. LLC
Attention: Prospectus Department
180 Varick Street, 2nd Floor
New York, New York 10014

This press release shall not constitute an offer to sell or the solicitation of an offer to buy, nor shall there be any sale of these securities in any state or jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of such state or jurisdiction.

About Hamilton Lane

Hamilton Lane (Nasdaq: HLNE) is one of the largest private markets investment firms globally, providing innovative solutions to institutional and private wealth investors around the world. Dedicated exclusively to private markets investing for more than 30 years, the firm currently employs nearly 700 professionals operating in offices throughout North America, Europe, Asia Pacific and the Middle East. Hamilton Lane has approximately $903 billion in assets under management and supervision, composed of $120 billion in discretionary assets and nearly $783 billion in non-discretionary assets, as of December 31, 2023. Hamilton Lane specializes in building flexible investment programs that provide clients access to the full spectrum of private markets strategies, sectors and geographies.

Forward-Looking Statements

Some of the statements in this release may constitute "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933, Section 21E of the Securities Exchange Act of 1934 and the Private Securities Litigation Reform Act of 1995. Words such as "will," "expect," "believe," "estimate," "continue," "anticipate," "intend," "plan" and similar expressions are intended to identify these forward-looking statements. Forward-looking statements discuss management's current views with respect to, among other things, the anticipated amount and terms of the offering and whether the offering will be completed. All forward-looking statements are subject to known and unknown risks, uncertainties and other important factors that may cause actual results to be materially different. For more information regarding the risks and uncertainties that we face, you should refer to the "Risk Factors" detailed in the prospectus and prospectus supplement related to the offering, as well as those in Part I, Item 1A of our Annual Report on Form 10-K for the fiscal year ended March 31, 2023 and in our subsequent reports filed from time to time with the SEC. The forward-looking statements included in this release are made only as of the date hereof. We undertake no obligation to update or revise any forward-looking statement as a result of new information or future events, except as otherwise required by law.

Cision View original content:https://www.prnewswire.com/news-releases/hamilton-lane-announces-pricing-of-public-offering-of-class-a-common-stock-302079230.html

SOURCE Hamilton Lane

FAQ

How many shares of Class A common stock are being offered by Hamilton Lane (HLNE)?

Hamilton Lane (HLNE) is offering 1,922,322 shares of Class A common stock in the public offering.

What is the expected gross proceeds from the public offering by Hamilton Lane (HLNE)?

The public offering by Hamilton Lane (HLNE) is expected to raise approximately $210 million in gross proceeds.

Who is the sole book-running manager and underwriter for the public offering by Hamilton Lane (HLNE)?

Morgan Stanley is acting as the sole book-running manager and underwriter for the public offering by Hamilton Lane (HLNE).

What will Hamilton Lane (HLNE) use the proceeds from the sale of its shares for?

Hamilton Lane (HLNE) intends to use the proceeds from the sale of its shares to settle in cash exchanges of membership units held by certain members.

Where can the related prospectus and documents for the public offering by Hamilton Lane (HLNE) be obtained?

The related prospectus and documents for the public offering by Hamilton Lane (HLNE) can be obtained for free by visiting the SEC's website or contacting Morgan Stanley.

Hamilton Lane Incorporated

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About HLNE

hamilton lane is an independent alternative investment management firm providing innovative private markets solutions to sophisticated investors around the world. the firm has been dedicated to private markets investing for more than two decades and currently has 250 employees operating in offices throughout the u.s., london, hong kong, rio de janeiro, tel aviv and tokyo. with over $239 billion in total assets under management and supervision*, hamilton lane offers a full range of investment products and services that enable clients to participate in the private markets asset class on a global and customized basis. the firm has been named an inc. 5000 fastest-growing company and a “best places to work in money management by pensions & investments. for more information please visit www.hamiltonlane.com. * as of september 30, 2015