Issue of Equity

Baronsmead VCT 2 PLC
25 June 2004


To:          RNS

From:        Baronsmead VCT2 plc
             
Date:        25 June 2004


Issue of Equity

The Company announces that on 25 June 2004 it allotted and issued 98,807 new
ordinary shares of 10p each under the Offer for Subscription at a price of
107.00p.

The new shares increase the issued share capital to 42,315,955 ordinary shares.


For further information please contact:

Gary Fraser, ISIS Asset Management plc, Secretaries:          0131 465 1000


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