Issue of Equity

CAPITAL GEARING TRUST plc

Issue of Ordinary Shares

The Board, in accordance with its stated intention to operate an informal
discount/premium control mechanism to satisfy major market supply and demand
imbalances, are pleased to announce the issue of 47,000 ordinary shares of 25p
each (the `Shares') at a price per share of £31.385 on 10 June 2011.

The Shares were allotted for cash at a premium of 15% to the unaudited net
asset value as at 10 June 2011 and in accordance with the authority given to
the Directors at the 2010 Annual General Meeting to allot shares on a non
pre-emptive basis.

In accordance with Disclosure and Transparency Rule 5.6.1A, the Company would
also like to notify the market that, following the issue of the Shares, the
Company's issued share capital consists of 2,894,906 ordinary shares of 25p
each with voting rights. The Company holds no shares in Treasury.

Therefore, the total number of voting rights in the Company following the issue
of the Shares is 2,894,906.

The above figure may be used by shareholders as the denominator for the
calculations by which they will determine if they are required to notify their
interest in, or a change to their interest in, Capital Gearing Trust plc under
the FSA's Disclosure and Transparency Rules.

Enquiries:

Keith Hawkins, TMF Corporate Secretarial Services Limited
Email: [e-mail]

Date: 10 June 2011