Update - Discount Control Policy

THIS ANNOUNCEMENT CONTAINS INSIDE INFORMATON FOR THE PURPOSES OF ARTICLE 7 OF THE MARKET ABUSE REGULATION (EU) 596/2014 AS IT FORMS PART OF UK DOMESTIC LAW BY VIRTUE OF THE EUROPEAN UNION (WITHDRAWAL) ACT 2018, AS AMENDED. ON THE PUBLICATION OF THIS ANNOUNCEMENT VIA A REGULATORY INFORMATION SERVICE, THIS INSIDE INFORMATION IS NOW CONSIDERED TO BE IN THE PUBLIC DOMAIN.

To:  PR Newswire

From:  Capital Gearing Trust P.l.c.

LEI:   213800T2PJTPVF1UGW53

Date:  31 October 2023

Capital Gearing Trust P.l.c. (the "Company")

Update - Discount Control Policy

Since 2015 the Company has operated a discount control policy ("DCP") which aims to ensure that, in normal market conditions, the share price remains close to the underlying net asset value. The Company is seeking approval from the Northern Irish Courts to reclassify its share premium account as distributable reserves, a legal procedure that will support the operation of the DCP for the foreseeable future.

As a result of technical and administrative issues resulting in delays, the Company has been advised by its Northern Irish legal advisers that the Court process may take around three months to conclude.

The Company's available distributable reserves now stand at approximately £23.8 million. Whilst these reserves will support additional share buyback activity, the Board will be temporarily limiting the daily buyback authority to try and manage the remaining reserves through to the receipt of the Court approval.

Shareholders should be assured that the Board remains fully committed to the DCP and any temporary modifications will be reversed as soon as the Northern Irish Court process is concluded.

For enquiries:

Juniper Partners Limited - Company Secretary

Tel: 0131 378 0500

Email: [email protected]