C Share Issue

Close Brothers Dev VCT PLC
24 September 2002



                         CLOSE BROTHERS DEVELOPMENT VCT

                     RAISING UP TO £20 MILLION OF NEW FUNDS


                                                               24 September 2002


Close Venture Management, a division of Close Brothers Investment Limited, is
launching a 'C' Share issue on behalf of Close Brothers Development VCT PLC ('
CBDVCT') to raise up to £20 million of new money.  CBDVCT was launched in
January 1999 and has raised a total of £14.8 million to date.  It is now over
80% invested in Qualifying Investments and has provided investors with a growing
dividend yield paid from revenue profits.

CBDVCT offers investors access to a diversified portfolio of holdings in
smaller, unquoted companies whilst selecting and structuring investments in such
a way as to reduce the risk normally associated with investment in such
companies.  Shareholders benefit from a strong dividend yield, enhanced by tax
breaks associated with VCTs as well as receiving a degree of capital protection.

Main Characteristics of the 'C' Share Offers:

  • There is no minimum subscription level for the Offers.
  • The Company reserves the right to allot 'C' Shares at any time up to the
    Closing
  • Investors can choose whether to invest for the tax year ending 5 April
    2003, for the following tax year ending 5 April 2004, or for a combination
    of both.
  • The maximum qualifying amount which an individual may invest in the
    Company and in any other VCT in any one tax year is £100,000.  Therefore,
    the maximum qualifying amount which can be invested in Close Brothers
    Development VCT 'C' Shares is £200,000 (£100,000 in respect of each of the
    Offers), assuming no other VCT investment is made for either tax year.  The
    minimum investment is £1,000 for each of the Offers or £2,000 for both
    Offers.
  • Introductory commission will be offered to authorised financial
    intermediaries usually at a rate of 2.5 per cent. on successful applications
    submitted through them.

Patrick Reeve, Managing Director of Close Venture Management, commented: 'As a
result of the successful investment strategy of this VCT in providing
shareholders with a lower risk investment opportunity coupled with a higher
dividend yield, we have decided to raise further funds for the Company through
the issue of C Shares.  By doing this we will be in position to broaden our
current investment portfolio substantially, therefore maximising value for new
and existing shareholders alike.'

Copies of the prospectus can be obtained by calling 0800 389 4534


For further information, please contact:

Patrick Reeve/ Ole Bettum                         Justin Griffiths/ John West
Close Venture Management                          Tavistock Communications
Tel: [phone]                                Tel: [phone]


Notes to Editors:

1.   Close Venture Management is the specialist Venture Capital Trust division 
     of Close Brothers Investment Limited (CBIL) led by Patrick Reeve (Managing 
     Director) and Ole Bettum (Director).  It was established in 1996 and 
     currently manages a portfolio of four VCTs which have to date raised a 
     total of £97 million from private investors, and also administers a fifth 
     VCT, Close Brothers AIM VCT PLC which raised a further £30 million.  Close 
     Brothers VCT operations have some 8% of the VCT market and concentrate 
     their investment strategy on lower investment risk and higher dividend 
     yield.


     VCTs under management:

     Close Brothers Venture Capital Trust PLC invests in a broad range of 
     unquoted asset-backed businesses in the hotel, care home, residential 
     property development, health and fitness and cinema sectors.  It is aimed 
     at providing investors with a lower risk investment profile whilst at the 
     same time generating a strong dividend yield.  Since launch in 1996, it has 
     paid out to shareholders over 42 pence in dividends, averaging over 7 pence 
     per annum

     Close Brothers Protected VCT PLC is similarly aimed at providing investors 
     with a lower risk investment opportunity, with 50% of net funds raised 
     invested in loans guaranteed by The Royal Bank of Scotland.  In due course, 
     this will be replaced by asset-backed investments, as with the Close 
     Brothers VCT.  The majority of the balance is invested in a portfolio of 
     around 35 AIM stocks

     Close Brothers Development VCT PLC provides equity and debt finance to 
     growing unquoted companies across a variety of sectors, with investments 
     ranging from technology-orientated to service and asset-backed businesses     

     Close Technology & General VCT PLC offers investors the opportunity to
     participate in a balanced portfolio of technology and non-technology 
     businesses

2.   Close Brothers Investment Limited is a subsidiary of Close Brothers
     Group plc and is regulated by the FSA.

The 'C' Share Offer is subject to approval by Ordinary Shareholders of the Close
Brothers Development VCT PLC at an Extraordinary General Meeting to be held on
21 October 2002.  Notice and details of the EGM will be sent to Shareholders
shortly.


                      This information is provided by RNS
            The company news service from the London Stock Exchange