Issue of Equity

City Merchants High Yield Trust Limited                    

HEADLINE: Issue of Equity

The Board of City Merchants High Yield Trust Limited (the `Company') announces
that it has today issued and allotted 350,000 ordinary shares of no par value
in the Company at a price of 188.25p per share. This allotment is to satisfy
secondary market demand and is made under the annual authority granted by the
Company's shareholders for such allotments.

The new shares rank pari passu with the existing shares in issue. Applications
are being made to the UK Listing Authority and to the London Stock Exchange for
the new shares to be admitted to the Official List and to trading on the main
market of the London Stock Exchange, respectively. It is expected that
admission will become effective and dealings in the ordinary shares will
commence on the London Stock Exchange at 8.00 a.m. on 31 March 2014.

Following this issue the total number of ordinary shares in issue is
75,136,327, which should be used as the denominator for calculating interests
in the Company.

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Issued for and on behalf of City Merchants High Yield Trust Limited

Contact:

Hilary Jones
R&H Fund Services (Jersey) Limited
Telephone: [phone]

25 March 2014