Skip to Content


HDC Update (04.28.2021)

Dear Prospective Investors,

We started Hunting Dog Capital in 2006 with the vision of creating an investment vehicle that  could deliver solid, risk-adjusted returns to investors by providing growth capital to smaller US  companies in the form of debt as opposed to equity. We believed that inherently this was “good”  under the notion that helping small companies grow would create jobs. We considered the overall  economic benefits and social good created as secondary to generating good investment returns. Today, we see the world differently. The opportunity to continue the same underlying investment  strategy -- senior-secured debt backed with tangible assets without leverage -- but commit those  efforts to social and environmental welfare is staring us in the face. We passionately believe that  generating great investment returns and doing the “right” thing can and should go hand in hand.

Looking back at the experience we have had as both a lender and owner of some businesses we  have made loans to has allowed us to realize that some of our best results came from companies that fit within our ESG framework. Here are a few examples:

  • Danimer Scientific – Headquartered in Bainbridge, GA, Danimer produces a bioplastic  replacement for traditional petroleum-based plastics targeted primarily to global consumer  products and packaging companies. We structured a $6.0 million senior-secured term loan,  including a warrant to purchase 2% of the company, to accelerate the commercialization  of its technology. The loan was repaid in full in 23 months and generated a gross, unlevered  IRR, excluding the warrant, of 15.6% (MoIC of 1.3x). Subsequently, Danimer merged  with a public company in December 2020. As a result, as of March 31, 2021, the gross,  unlevered IRR, including the warrant is 68.9% (MoIC of 4.7x) 

  • Cascade Kelly Holdings – Located in Clatskanie, OR, Cascade Kelly Holdings owned and  operated a facility to produce ethanol to blend with gasoline to produce cleaner burning  full. We structured a $7.5 million senior-secured term loan to finance additional equipment  and working capital. The loan generated a gross, unlevered IRR and MoIC of ~17.9%  and 1.1x, respectfully 

  • Slic Network Solutions – Based in Upstate New York, Slic provides high-speed broadband  access to under-served, rural communities to enhance economic and educational  opportunities. We structured a $5.0 million senior-secured term loan to finance additional  equipment and working capital. The loan generated a gross, unlevered IRR and MoIC of  ~18.2% and 1.3x, respectfully 

  • Headlands Ventures (dba Mike’s Bikes) – Mike’s Bikes operates a chain of bike shops  across Northern California and promotes biking as an alternative form of clean  transportation. We structured a $3.6 million senior-secured term loan to finance market  expansion and working capital. The loan generated a gross, unlevered IRR and MoIC of  ~13.4% and 1.6x, respectfully 

There continues to be an abundance of similar opportunities that exist in the US today. The convergence of multiple factors, political, social and economic has created an unprecedented opportunity as a lender to smaller US growth companies. We want to capture that opportunity with an emphasis on being socially responsible. We will remain opportunistic and geographically agnostic, but our fourth fund will focus exclusively on opportunities that meet our ESG guidelines,  particularly job creators. Since inception, we are especially proud that our actions have saved or  created hundreds of well-paying jobs across the country.  

To capitalize on those select investments that meet our criteria, HDC seeks $200mm -- the  firepower to secure these senior secured, collateralized loans while maintaining the same  investment discipline since our founding fifteen years ago. Your investment into HDC will provide  the capital to lock in and underwrite these exceptional loans with our targeted, unwavering return  goal of 13-18% gross IRR with zero leverage and providing quarterly distributions.  

Thank you in advance for your time to review this opportunity. It would be an honor to be the  steward of your capital and know that we are collectively putting money to work for a greater  good. Please contact either of us directly if you are interested in learning more.

Back to top