Runway Growth Finance Corp. Provides Fourth Quarter 2025 Portfolio and Transaction Update

Rhea-AI Summary

Runway Growth Finance (Nasdaq: RWAY) reported a fourth-quarter 2025 portfolio and transaction update. During Q4 the company funded $42.9 million across seven investments, including a $20.0M mobility deal, a $10.0M SPV commitment, and a $20.0M Shield Therapeutics facility (with $2.0M funded at close); follow-ons totaled $10.9M. Q4 liquidity events totaled $77.8M, driven by principal repayments from Synack ($45.0M) and Dejero Labs ($14.7M), an assignment of $15.0M in Kin Insurance, plus other repayments.

The pending acquisition of SWK Holdings is expected to close late Q1 2026 pending regulatory approvals; Runway filed a Form N-14 on Nov 18, 2025. As of Dec 31, 2025 the portfolio included 40 debt investments to 31 companies and 72 equity investments in 48 companies, with 24 companies holding both debt and equity positions.

Positive

• $42.9M in new Q4 funded investments
• Q4 liquidity realizations of $77.8M
• Portfolio scale: 40 debt and 72 equity investments
• Acquisition of SWK Holdings to expand healthcare/life sciences

Negative

• Only $2.0M of the $20.0M Shield Therapeutics commitment funded at close
• SWK Holdings acquisition remains subject to regulatory approvals

News Market Reaction

+1.73%

1 alert

+1.73% News Effect

On the day this news was published, RWAY gained 1.73%, reflecting a mild positive market reaction.

Data tracked by StockTitan Argus on the day of publication.

Key Figures

Q4 2025 funded investments: $42.9M New mobility investment: $20.0M New SPV investment: $10.0M +5 more

8 metrics

Q4 2025 funded investments $42.9M Seven investments in new and existing portfolio companies

New mobility investment $20.0M Fast-growing mobility company, fully funded at close

New SPV investment $10.0M Special purpose vehicle for consumer products investment, fully funded

Shield Therapeutics investment $20.0M (funded $2.0M) Commercial-stage specialty pharmaceutical company; $2.0M funded at close

Liquidity events $77.8M Q4 2025 portfolio liquidity events including repayments and assignment

Dejero Labs repayment $14.7M Full principal repayment of senior secured term loan

Portfolio debt positions 40 debt investments Across 31 portfolio companies as of Dec 31, 2025

Equity positions 72 equity investments Across 48 portfolio companies; 24 with both debt and equity

Market Reality Check

Price: $8.95 Vol: Volume 160,812 is below t...

low vol

$8.95 Last Close

Volume Volume 160,812 is below the 20-day average of 341,701 (relative volume 0.47x). low

Technical Shares at $9.26 are trading below the $9.95 200-day moving average and 21.06% below the 52-week high.

Peers on Argus

RWAY slipped 0.43% while peers were mixed: JRI up 0.07%, HIO flat, SCM and SOR m...

RWAY slipped 0.43% while peers were mixed: JRI up 0.07%, HIO flat, SCM and SOR modestly negative, HQL down 0.71%. No broad, uniform sector move is evident.

Historical Context

5 past events · Latest: Dec 10 (Positive)

Pattern 5 events

Date	Event	Sentiment	Move	Catalyst
Dec 10	Management hire	Positive	+1.0%	New managing director to source and structure growth loan opportunities.
Nov 06	Earnings update	Positive	+1.9%	Q3 2025 results with solid income, high yields, and SWK merger plan.
Nov 06	Dividend declaration	Positive	-0.7%	Announced <b>$0.33/share</b> Q4 2025 cash distribution to stockholders.
Oct 28	Recognition/award	Positive	-2.5%	Named to Inc.'s Founder-Friendly Investors list for third consecutive year.
Oct 16	Earnings scheduling	Neutral	-0.6%	Announced date and time for Q3 2025 results and conference call.

Pattern Detected

Recent news has often been met with small price moves, with a slight bias toward divergence on positive corporate updates and branding recognition.

Recent Company History

Over the last several months, Runway Growth reported solid Q3 2025 results with total investment income of $36.7M, net investment income of $15.7M (or $0.43/share), and an investment portfolio fair value of $945.96M, alongside a $0.33/share dividend and a merger agreement to acquire SWK Holdings. Subsequent news has focused on recognition by Inc. Magazine and key hires. Today’s Q4 2025 portfolio and transaction update extends this theme of gradual portfolio scaling and strategic expansion.

Market Pulse Summary

This announcement detailed Q4 2025 activity, with $42.9M in funded investments, $77.8M in liquidity ...

Analysis

This announcement detailed Q4 2025 activity, with $42.9M in funded investments, $77.8M in liquidity events, and a diversified portfolio of 40 debt and 72 equity positions as of Dec. 31, 2025. It also reiterated the planned SWK Holdings acquisition, aimed at scaling healthcare and life sciences exposure. In context of earlier earnings strength and dividends, key watchpoints include integration progress, portfolio credit performance, and how new originations affect overall yield and risk mix.

Key Terms

special purpose vehicle (spv), senior secured term loan, registration statement on form n-14, regulatory approvals

4 terms

special purpose vehicle (spv) financial

"Completion of a new $10.0 million investment to a special purpose vehicle (SPV) formed..."

A special purpose vehicle (SPV) is a separate legal entity created to hold specific assets, liabilities or financial activities apart from a company’s main business—think of it like a sealed box where certain deals or risks are kept. Investors care because an SPV isolates risk and can be used to raise money, structure investments, or limit losses; however, it can also hide obligations or complicate transparency, so understanding what’s inside the “box” matters for assessing true financial health.

senior secured term loan financial

"Full principal repayment of the Company’s senior secured term loan to Dejero Labs, Inc...."

A senior secured term loan is a type of borrowing where a company borrows money and promises to pay it back over a fixed period, with the loan secured by the company's assets as collateral. Because it is "senior," it has priority over other debts if the company faces financial trouble, and being "secured" means lenders have a claim on specific assets. For investors, this makes the loan a safer and more predictable investment compared to unsecured or subordinate debts.

registration statement on form n-14 regulatory

"Our initial Registration Statement on Form N-14 was filed with the US Securities..."

A registration statement on Form N-14 is a regulatory filing used when an investment company (like a closed-end fund or business development company) offers or exchanges securities as part of a merger, acquisition, or other business combination. It lays out the deal’s terms, the new securities being issued, key risks and financial impacts—think of it as the official instruction manual and prospectus for the transaction—so investors can understand what they would receive and how their holdings could change.

regulatory approvals regulatory

"on schedule to close late in the first quarter of 2026, pending all regulatory approvals..."

Regulatory approvals are official permissions from government agencies that a company needs before launching a new product, service, or business activity. They matter because without this approval, the company might not be allowed to operate legally or sell its products, similar to how a driver needs a license to legally drive a car.

AI-generated analysis. Not financial advice.

Completed Seven Investments in New and Existing Portfolio Companies Representing $42.9 Million in Funded Investments

MENLO PARK, Calif., Jan. 13, 2026 (GLOBE NEWSWIRE) -- Runway Growth Finance Corp. (Nasdaq: RWAY) (“Runway Growth” or the “Company”), a leading provider of flexible capital solutions to late- and growth-stage companies seeking an alternative to raising equity, today provided an operational and portfolio update for the quarter ended December 31, 2025 and an update on the Company’s pending acquisition of SWK Holdings Corporation (“SWK Holdings”).

“We delivered another solid quarter of disciplined execution in the fourth quarter, advancing our strategic objectives while continuing to diversify our portfolio across our core verticals through our position within the BC Partners Credit platform,” said David Spreng, Founder and CEO of Runway Growth. “With the anticipated closing of our transaction with SWK Holdings, we believe we are well positioned to enhance our balance sheet, broaden our deal pipeline and continue delivering attractive, risk-adjusted returns for shareholders."

Originations

During the fourth quarter of 2025, Runway Growth funded seven investments totaling $42.9 million: three investments in new portfolio companies and four investments in existing portfolio companies. These include:

• Completion of a new $20.0 million investment to a fast-growing mobility company offering a seamless, all-inclusive car-subscription service, funding $20.0 million at close;
  
• Completion of a new $10.0 million investment to a special purpose vehicle (SPV) formed by an experienced consumer products investor and operator to support their latest investment, funding $10.0 million at close;
  
• Completion of a new $20.0 million investment to Shield Therapeutics PLC (“Shield Therapeutics”), funding $2.0 million at close. Shield Therapeutics is a commercial-stage specialty pharmaceutical company focused on delivering innovative therapies to address significant unmet needs in patients with iron deficiency, with or without anemia; and
  
• Completion of follow-on investments with an aggregate amount of $10.9 million to four existing portfolio companies.

Liquidity Events

During the fourth quarter of 2025, Runway Growth experienced the following liquidity events, totaling $77.8 million in its investment portfolio:

• Full principal repayment of the Company’s senior secured term loan to Dejero Labs, Inc. of $14.7 million;
  
• Full principal repayment of the Company’s senior secured term loan to Synack, Inc. of $45.0 million;
  
• Partial principal repayment of the Company’s senior secured term loan to Shepard Intermediate, LLC (dba Federal Hearings and Appeals Services, “FHAS”) of $0.9 million;
  
• An assignment of $15.0 million of the company’s investment in Kin Insurance, Inc.; and
  
• Other scheduled loan principal amortization payments of $2.2 million.
  

Transaction Update

Runway Growth’s acquisition of SWK Holdings Corporation is on schedule to close late in the first quarter of 2026, pending all regulatory approvals and satisfaction of other customary closing conditions. Our initial Registration Statement on Form N-14 was filed with the US Securities and Exchange Commission on November 18, 2025. Once closed, the transaction will allow Runway Growth to further advance the Company’s strategic objectives by expanding the Company’s position and capabilities in the healthcare and life sciences sector, driving portfolio scale and diversification through a high-quality complementary portfolio, positioning Runway Growth to execute on organic and inorganic strategies, and enhancing Runway Growth’s financial profile and growing its shareholder base.

Portfolio Construction and Management

Runway Growth is a credit-first organization, carefully structured to focus on what it believes to be the highest quality, late-stage companies in the venture debt market. The Company seeks to uphold 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 debt space, 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 products industries.

As of December 31, 2025, the Runway Growth portfolio included 40 debt investments to 31 portfolio companies and 72 equity investments in 48 portfolio companies, including 24 portfolio companies where Runway Growth holds both a debt and equity investment. Investments were comprised of late and growth-stage businesses in the technology, healthcare and select consumer services and products industries. Runway Growth’s normal business operations include frequent communication with portfolio companies.

About Runway Growth Finance Corp.

Runway Growth is a specialty finance company focused on providing flexible capital solutions to late- and growth-stage companies seeking an alternative to raising equity. Runway Growth is a closed-end investment fund that has 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 L.P. and led by industry veteran David Spreng. For more information, please visit www.runwaygrowth.com.

Forward-Looking Statements

Statements included herein may constitute "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995, as amended. Statements other than statements of historical facts included in this press release may constitute 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 those in forward-looking statements as a result of a number of factors, including those 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 statement made herein. All forward-looking statements speak only as of the date of this press release.

No Offer or Solicitation

This press release is not, and under no circumstances is it to be construed as, a prospectus or an advertisement and the communication of this press release 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, SWK Holdings or in any fund or other investment vehicle managed by Runway Growth Capital LLC, BC Partners Advisors L.P. or any of their affiliates.

Important Disclosures

Strategies described involve special risks that should be evaluated carefully before a decision is made to invest. Not all of the risks and other significant aspects of these strategies are discussed herein. Please see a more detailed discussion of these risk factors and other related risks in the Company’s most recent annual report on Form 10-K in the section entitled “Risk Factors”, which may be obtained on the Company’s website, www.runwaygrowth.com, or the SEC’s website, www.sec.gov.

IR Contacts: 

Taylor Donahue, Prosek Partners, rway@prosek.com

Thomas B. Raterman, Chief Financial Officer and Chief Operating Officer, tr@runwaygrowth.com

FAQ

What Q4 2025 investments did Runway Growth (RWAY) fund and for how much?

Runway Growth funded $42.9M across seven investments in Q4 2025, including $20.0M mobility, $10.0M SPV, $20.0M Shield Therapeutics (with $2.0M funded at close), and $10.9M in follow-ons.

How much cash did Runway Growth (RWAY) realize from liquidity events in Q4 2025?

Runway Growth recorded $77.8M of liquidity events in Q4 2025, led by Synack principal repayment of $45.0M and Dejero Labs repayment of $14.7M.

When is Runway Growth's (RWAY) acquisition of SWK Holdings expected to close?

The acquisition is expected to close late Q1 2026, pending regulatory approvals and customary closing conditions; a Form N-14 was filed on Nov 18, 2025.

What is the composition of Runway Growth's (RWAY) portfolio as of Dec 31, 2025?

As of Dec 31, 2025 the portfolio included 40 debt investments to 31 companies and 72 equity investments in 48 companies, with 24 companies holding both debt and equity.

Does the Shield Therapeutics investment fully funded at close for Runway Growth (RWAY)?

No; Runway Growth committed to a $20.0M facility to Shield Therapeutics but funded $2.0M at close.

How will the SWK Holdings transaction affect Runway Growth (RWAY)?

Runway Growth expects the transaction to expand its healthcare and life sciences capabilities, drive portfolio diversification, and enhance its financial profile once closed.