Hercules Provides $7.5 Million of Venture Debt to Quartics, a Semiconductor Design Company Focusing on Wireless Video Streaming Capabilities

PALO ALTO, Calif. — Coinciding with its recent expansion into Southern California, Hercules announced today that on August 2, 2007, it provided $7.5 million of venture debt to Irvine, California-based Quartics, Inc., a premier provider of video processing solutions.

Hercules Technology Growth Capital, Inc. (NASDAQ:HTGC), a leading specialty finance company providing growth capital in the form of venture debt and equity to venture capital and private equity backed technology and life science companies at all stages of development, provided the growth capital to enhance research and development as well as expand sales and marketing activities at Quartics.

“Our decision to extend venture debt to Quartics was driven by the company’s well-respected management team and its PC2TV, USB monitor and media coprocessing technologies which are positioned to revolutionize video processing,” said Sam Bhaumik, senior managing director of technology at Hercules. “Quartics produces some of the most innovative products in the industry, and the market opportunity for technologies which merge televisions and personal computers into one compatible unit is gaining tremendous attention.”

Quartics’ family of remote PC processors allows users to wirelessly transfer HD quality video and graphics over Internet Protocol (IP) networks from a PC to various high resolution displays including projectors, monitors and flat-panel, big screen televisions. The company is backed by a number of leading industry investors including Enterprise Partners, Focus Ventures, Foundation Capital, Globespan Capital Partners and Integral Capital Partners.

“Quartics is recognized as a pioneer in video processing technology. This funding from Hercules will allow us to make additional advancements and claim a larger part of the market,” said Safi Qureshey, chairman and chief executive officer of Quartics.