Issue of Equity

STOCK EXCHANGE ANNOUNCEMENT

EDINBURGH DRAGON TRUST PLC

The board of Edinburgh Dragon Trust are pleased to announce the issue of
139,137 ordinary shares at a price of 60 pence per share on 9 February
2004. The shares were allotted following the exercise of 139,137
warrants (to subscribe for ordinary shares) on 31 January 2004.

The listing of the shares on the London Stock Exchange is expected on 11
February 2004 and the shares commenced trading on 12 February 2004.

As a result of the issue, there are now 226,767,972 ordinary shares in
issue.

For Edinburgh Fund Managers plc, Secretary

Valerie Mackenzie

Company Secretary

END