Final Results

NEWS RELEASE

                                                                  13 June 2008

         Audited Preliminary results for the year ended 31 March 2008

The Biotech Growth Trust PLC today announces preliminary results
for the year ended 31 March 2008


                                               31 March   31 March % change
                                                   2008       2007
 
Shareholders' funds (£'000)                      64,497     76,803   (16.0)
Net asset value per share                        103.4p     117.1p   (11.7)
Share price                                       96.8p     109.8p   (11.8)
Discount of share price to net asset value         6.4%       6.2%      N/A
per share
NASDAQ Biotechnology Index (sterling              393.1      394.7    (0.4)
adjusted)
Total expense ratio *                              1.5%       1.9%      N/A


*Based on the average amount of shareholders' funds during the year

- excludes performance fee accrued/written back -see note 3.

For and on behalf of Frostrow Capital LLP - Company Secretary

13 June 2008

                                   - ENDS -

The following are attached:

- Chairman's Statement
- Investment Manager's Review
- Income Statement
- Statement of Changes in Equity
- Balance Sheet
- Cash Flow Statement
- Notes to the Financial Statements

For further information please contact:

Alastair Smith, Frostrow Capital LLP     020 3 008 4911
Mark Pope, Frostrow Capital LLP          020 3 008 4913
Jo Stonier, Quill Communications          020 7758 2230
Chairman's Statement

Performance

The year under review has been a challenging one for global stock markets and
in particular for the biotechnology sector. It is deeply disappointing to
report another fall in the Company's net asset value per share, which declined
by 11.7% during the year under review. This compares to a fall of 0.4% in the
NASDAQ Biotechnology Index (measured in sterling terms), the Company's
benchmark index.

The Company's share price fell by 11.8% as the discount of share price to net
asset value per share widened slightly to finish the year at 6.4% compared to
6.2% at the beginning of the year.

Larger biotechnology companies delivered strong earnings growth during the
year and performed significantly better than smaller capitalisation stocks.
Overall, the sector was held back by increased caution at the US Food and Drug

Administration (`FDA') over the approval of new drugs. The scarcity of new
approvals led to share price falls in smaller capitalisation biotechnology
companies and in particular in those companies yet to receive approval for
their first product. It is hoped that recent senior appointments at the FDA
will reverse this trend and there have been encouraging signs in recent weeks.

The second half of the year under review was dominated by unusually difficult
credit markets both in the US and the UK and stock markets became increasingly
volatile and unpredictable. This environment was particularly tough for
smaller biotechnology companies and even larger capitalisation pharmaceutical
companies, which have historically shown defensive qualities in bad markets,
performed poorly. Recent attempts by the Federal Reserve Bank, the Bank of
England and other monetary authorities to increase the liquidity of global
markets have been partially successful but confidence is by no means yet fully
restored.

The biotechnology sector has been in the doldrums for a prolonged period and
is now trading at historically low levels. Since the end of 2000 the NASDAQ
Biotechnology Index has declined by 45.9% (in sterling terms) and traditional
valuation methods such as P/E ratios and P/E to growth ratios are at a low
point across the sector. The Board does not believe that these levels are
sustainable and expects valuations to recover in the medium term.

Investment Portfolio

The Board and the Investment Manager keep the allocation of the Company's
assets within the biotechnology sector under regular review and now believe
that attractive returns are potentially available through a modest investment
in private equity funds. Against that background the Company intends, subject
to obtaining shareholder approval at the Annual General Meeting, to make a
commitment of US$5 million (£2.6 million using the current £/US$ exchange
rate) to Caduceus Asia Partners, LP a limited partnership whose mandate is to
invest in unquoted Asian biotechnology companies, an area of the market in
which the Board and the Investment Manager see significant growth
opportunities. Caduceus Asia Partners, LP is managed by OrbiMed Asia GP, LP,
an affiliate of the Investment Manager who have a track record of delivering
upper quartile returns from similar investment vehicles. Should further
opportunities present themselves, the Board and the Investment Manager will
consider making similar investments. It is currently envisaged that the total
investment or the amount committed for investment to such private equity funds
will be limited to US$15 million, after the deduction of proceeds of disposal
and other returns of capital (£7.7 million using the current £/US$ exchange
rate).

Loss per Share and Dividend

The loss per share amounted to 13.8p for the year, comprising a
revenue deficit of 0.4p per share (2007: deficit of 0.5p) and a capital loss
of 13.4p (2007: return of 1.7p). No dividend is recommended in respect of the
year ended 31 March 2008 (2007: Nil).

Discount Management Policy And Buy-Back Authority

The Board continued to implement its policy of active discount management and
to buy back shares in the event of the market price being at a discount
greater than 6.0% to the net asset value per share. During the year, a total
of 3,191,300 shares was bought back for cancellation, at an average discount
to net asset value per share of 6.9%, costing £3,378,000 (including expenses).
The execution and timing of any share buy-back will continue to be at the
absolute discretion of the Board.

Shareholder approval to renew the authority to buy-back shares will be sought
at the Annual General Meeting.

Electronic Communications And Voting

At last year's Annual General Meeting, the necessary resolutions
were passed to facilitate the use of communications with shareholders both in
electronic form and via our website. Further details about this can be found in the
Company's Annual Report & Accounts.

The Company's Articles Of Association (the "Articles")

The Board believes that as a result of various legislative and
regulatory developments the Articles should be amended to bring them into line
with current best practice. A Special Resolution will be proposed at the
Annual General Meeting which will, if approved, ratify the adoption of new
Articles. The material differences between the current and the proposed
Articles are summarised in a separate circular to shareholders accompanying
the Annual Report and Accounts.

VAT

As mentioned at the interim stage, the Company is taking steps to recover VAT
paid to its previous manager, Close Investments Limited (formerly Close
Finsbury Asset Management Limited). Given the volume of claims HMRC have
to process it is likely to take a significant time before any amounts are
refunded. The amounts involved are not expected to have a material impact on
the Company's net asset value. The Company will take credit for VAT recovered
when any such recovery can be assessed with reasonable certainty and will
continue to follow guidance issued by The Association of Investment Companies
in this matter.

Savings Plans

The investment plans managed by Close Investments on behalf of the Company
have, subject to FSA rules, recently been transferred to Alliance Trust
Savings Limited (`ATSL'). It is our hope that being included in the much larger,
market-wide scheme run by ATSL will lead to increased private investor
interest in the Company. Existing plan members should have received
confirmation of the transfer, including their new account details.

Outlook

I reported in my statement this time last year that the Board
continued to believe that the prospects for the biotechnology sector were bright. We
were wrong over the year but we remain of the view that the careful investor
will be rewarded in the medium term.

The successful development of new drugs, together with a more
positive stance by the FDA as regards drug approval, is still seen as the key
driver of long term investment returns. Other factors which we believe will
drive future returns are a recovery in stock market conditions generally,
supported by an easing of the recent difficult credit markets, and continued
merger and acquisition activity in the biotechnology sector.

Although we are cautiously optimistic for our sector in the medium term, we
foresee continued volatility and a dangerous economic environment on a shorter
horizon. Our focus will therefore be on the selection of particular stocks
with exceptional prospects for capital enhancement. We plan to remain fully
invested, in line with our ongoing policy.

Annual General Meeting

The Annual General Meeting of the Company will be held at the
Barber-Surgeons' Hall, Monkwell Square, Wood Street, London EC2Y 5BL on
Wednesday, 23 July 2008 at 2.45pm, and I hope as many shareholders as possible
will attend. This will be an opportunity to meet the Board and to receive a
presentation from our Investment Manager.

John Sclater CVO

Chairman

13 June 2008

Review of investments

We present our third Review of Investments for The Biotech Growth Trust PLC.

Performance Review

The Company's net asset value per share declined by 11.7% during the year.
This was a disappointing performance for the Company since the NASDAQ
Biotechnology Index (measured on a sterling adjusted basis) (the "Benchmark
Index") was only down 0.4% for the year. During the time that OrbiMed has
managed the Company's investment portfolio, to 30 May 2008, the Company's NAV
has increased by 11.7% compared to a 10.9% increase in the Benchmark Index.
Currency effects did not significantly impact the Company's performance during
the year.

There was a significant divergence in performance between large capitalisation
and small capitalisation biotechnology companies over the course of the year.
Within the Benchmark Index, we estimate the group of companies with market
capitalisations above US$500 million performed approximately 30.0% better
during the year than the group of companies whose market caps were below
US$500 million. The Company had approximately twice the exposure to companies
with a market capitalisation below US$500 million compared to the Benchmark
Index. As a result, the Company's higher exposure to emerging biotechnology
investments hindered its performance when compared to the Benchmark Index.

Additionally, close to 15.0% of the weighting in the Benchmark Index at the
beginning of the year consisted of generic companies, diagnostics companies,
and life science tools companies, which are not the focus of the Company's
investment mandate. Those particular subsectors had significantly higher
returns during the year than emerging biotechnology companies, which
exacerbated the difference in performance between the Company and the
Benchmark Index.

The top contributors to performance in the investment portfolio were Gilead
Sciences, BioMarin Pharmaceuticals, and Onyx Pharmaceuticals. Gilead Sciences,
a profitable biotechnology company, saw continued strong sales growth of its
HIV franchise and launched a new drug for pulmonary arterial hypertension
towards the end of 2007. BioMarin Pharmaceuticals received US Food and Drug
Administration ("FDA") approval for Kuvan, a new treatment for a rare genetic
enzyme deficiency called phenylketonuria, which should propel the company to
profitability in 2008. Onyx Pharmaceuticals' Nexavar was shown to be effective
for liver cancer and subsequent sales exceeded expectations.

Noted underperformers in the investment portfolio included Arqule, Kosan
Biosciences, and Momenta Pharmaceuticals. Shares in Arqule have been weak
primarily due to a near-term lack of newsflow around the lead program and the
departure of the company's CEO, who accepted an offer to become CEO of a much
larger and more established pharmaceutical company. Momenta Pharmaceuticals
received a rejection from the FDA for its version of generic Lovenox, an
anticoagulant. Kosan underperformed after results for its cancer drug showed
less activity against myeloma than previously demonstrated. However,
subsequent to the Company's year end Kosan agreed to be acquired by
Bristol-Myers Squibb at a premium in excess of 230.0% to its prevailing share
price.

Several Other factors dampened performance of the overall biotechnology sector
in the year under review:

1) FDA Conservatism Characterised the Year, But There are Recent Signs of
Improvement

Even though most major biotechnology companies posted strong earnings growth
throughout the year, the sector as a whole was overshadowed by increased FDA
conservatism regarding the approval of new drugs. Emerging biotechnology
companies who have yet to receive approval for a first product were especially
hurt by this trend.

The FDA's cautiousness in approving drugs has been driven by new clinical data
uncovering safety issues with some marketed drugs as well as increased
scrutiny of the agency by Congress. Specifically, there have been a number of
high profile Congressional hearings to debate the FDA's management of safety
for several drugs, including Avandia, Epogen, Aranesp, and Ketek. The
increased Congressional scrutiny has led the FDA to raise its safety hurdle
for approving new drugs. In some cases, such as Zimulti from Sanofi-Aventis,
drugs have been delayed or rejected despite approval in Europe and other
markets. The FDA is also grappling with insufficient staff to handle new drug
applications in a timely manner, leading to delays in the regulatory process.

Illustrative of the safety-conscious regulatory environment this year was the
plight of Amgen, the largest biotechnology company in the world, which
suffered a dramatic share price decline due to safety concerns over its
flagship anemia drug Aranesp. Despite being on the market for years, the drug
was found in clinical studies to cause excess mortality in certain patients
with cancer, leading the FDA to curtail its use. The challenges facing this
bellwether stock likely affected investor sentiment for the biotechnology
sector as a whole. Amgen was one of the worst performers in the investment
portfolio this year, but we believe the valuation has become overly depressed.

We are hopeful that the recent appointment of Janet Woodcock as permanent head
of the Center for Drug Evaluation and Research at the FDA in March 2008 will
reaccelerate the drug approval process. A number of drug approvals in recent
weeks suggest the FDA's overly cautious stance may be improving.

2) Election Year Politics May Have Cast Overhang Over Healthcare

In November 2008, US citizens will be voting for the next President of the
United States, and a Democrat is widely expected to be elected. Both
Democratic candidates Hillary Clinton and Barack Obama have campaigned for
universal healthcare coverage and lower prices for prescription drugs. The
election year rhetoric may have caused generalist investors to avoid the
biotechnology sector, fearing that drug pricing power might be threatened.

In the event a Democrat is elected President, we believe any drug
reimbursement proposals they recommend would affect large pharmaceutical
companies (`Big Pharma') much more than biotechnology companies. A streamlined
process to approve generic versions of Big Pharma drugs already exists, while
a comparable pathway for biologics has not yet been worked out. In addition,
because most biotech drugs are novel and address serious unmet medical needs,
we believe there is less opportunity for the government to influence pricing
for those drugs. As long as biotech companies are able to continue introducing
innovative products for unmet needs, we think their pricing power should
remain intact.

3) Difficult US Equity Markets

The beginning of 2008 saw a sharp pullback in the broader US equity markets
due to problems with the subprime mortgage industry, falling housing prices,
deleveraging of major financial institutions, and fears of a recession.
Historically, healthcare has been a defensive sector in periods of a slowing
economy. However, sudden share price declines for specific stocks in Big
Pharma and healthcare services in 2008 have caused skittish investors to look
for safety elsewhere. In general, shares of major biotechnology companies have
held up relatively well in the current climate because they have stable
earnings, while shares of earlier stage companies have done poorly as
investors reduced their exposure to high beta names.

Biotech Poised for Rebound

Despite the difficult environment for biotechnology companies over the past
year, there are a number of reasons to be sanguine about the industry.

From a valuation perspective, shares in biotechnology and pharmaceutical
companies are trading at historically depressed levels. Customary valuation
metrics such as P/E ratios and P/E to growth ratios are at historic lows for
the industry. We do not think these depressed valuations are sustainable and
expect a rebound in share prices as valuations return to historical norms.

Merger and acquisition (M&A) activity in the biopharmaceutical space also
continues as cash-rich pharmaceutical companies seek to bolster their product
portfolios. Of the announced transactions during the year, the Company
benefited directly from acquisitions of two target companies in the investment
portfolio: MedImmune and Aspreva. After the year end, the Company benefited
from Bristol-Myers Squibb's announced acquisition of Kosan Biosciences. We
expect M&A activity to remain robust.


Announcement     Target             Acquiror         Deal size  Premium
Date                                                            paid

5 June 2008      Tercica            Ipsen            US$660 mm  104%
29 May 2008      Kosan Biosciences  Bristol-Myers    US$190 mm  233%
                                    Squibb
22 April 2008    Sirtris            GlaxoSmithKline  US$720 mm  84%
11 April 2008    Millennium         Takeda           US$8.8 bn  53%
26 February 2008 CollaGenex         Galderma         US$420 mm  30%
20 February 2008 Encysive           Pfizer           US$325 mm  118%
10 December 2007 Adams Respiratory  Reckitt          US$2.3 bn  37%
                                    Benckiser
10 December 2007 MGI Pharma         Eisai            US$3.9 bn  39%
29 November 2007 Axcan Pharma       TPG Capital      US$1.3 bn  28%
18 November 2007 Pharmion           Celgene          US$2.9 bn  46%
16 November 2007 Coley
                 Pharmaceuticals    Pfizer           US$160 mm  167%
18 October 2007  Aspreva            Galenica         US$915 mm  34%
29 May 2007      Bioenvision        Genzyme          US$345 mm  50%
23 April 2007    MedImmune          AstraZeneca      US$5.6 bn  53%


Since the end of 2000, the NASDAQ Biotechnology Index, the AMEX Pharmaceutical
Index and the S&P 500 Index have declined 45.9% and 50.4% and 24.7% in
sterling terms respectively. Although the market environment for the
biotechnology sector has been challenging in recent years, we remain confident
about the prospects for the industry. We expect share prices to recover as
this value is recognised.

Sven Borho

OrbiMed Capital LLC

Investment Manager

13 June 2008



Income Statement
for the year ended 31 March 2008

                                 Year ended 31           Year ended 31
                                   March 2008              March 2007

                           Revenue Capital   Total   Revenue Capital   Total
 
                              £000    £000    £000      £000    £000    £000
 
Investment income
Investment income ( note       116       -     116        36       -      36
2)
Other income ( note 2)           6       -       6         8       -       8
 
Total income                   122       -     122        44       -      44
 
Gains and losses on
investments
(Losses)/gains on
investments
held at fair value through
profit or loss
                                 - (9,156) (9,156)         -   3,373   3,373
Exchange losses on
currency
balances                         -     (4)     (4)         -   (277)   (277)
Expenses
Investment management,
management and performance
fees ( note 3)
 
                                 -     514     514         - (2,048) (2,048)
Other expenses               (366)       -   (366)     (355)       -   (355)
 
(Loss)/profit before
finance
costs and taxation           (244) (8,646) (8,890)     (311)   1,048     737
 
Finance costs                 (26)    (12)    (38)      (20)    (17)    (37)
 
(Loss)/profit before         (270) (8,658) (8,928)     (331)   1,031     700
taxation
 
Taxation                         -       -       -         -       -       -
 
(Loss)/profit for the year   (270) (8,658) (8,928)     (331)   1,031     700
 
(Loss)/earnings per share
( note 4)
                            (0.4)p (13.4)p (13.8)p    (0.5)p    1.7p    1.2p
 
The total column of this statement represents the Company's Income
Statement, prepared in accordance with International Financial Reporting
Standards (IFRS). The revenue return and capital return columns are
supplementary to this and are prepared under guidance published by the
Association of Investment Companies. All items in the above statement derive
from continuing operations.


Statement of Changes in Equity
For the year ended 31 March 2008

                          Share     Share  Special    Capital         Retained
                        capital   premium  reserve redemption Capital earnings
                           £000      £000     £000    reserve reserve     £000   Total
                                                         £000    £000             £000

At 31 March 2007         16,394         -   49,443        737  12,232  (2,003)  76,803
Net loss for the year         -         -        -          - (8,658)    (270) (8,928)
Buyback of shares         (798)         -  (3,378)        798       -        - (3,378)
At 31 March 2008         15,596         -   46,065      1,535   3,574  (2,273)  64,497



For the year ended 31 March 2007

                           Share     Share Special    Capital         Retained
                         capital   premium reserve redemption Capital earnings
                            £000      £000    £000    reserve reserve     £000  Total
                                                         £000    £000            £000

At 31 March 2006           6,935       272  19,167        653  11,201  (1,672) 36,556
Net profit/(loss) for          -         -       -          -   1,031    (331)    700
the year
Issue shares               9,543    31,267       -          -       -        - 40,810
Issue expenses                 -     (938)       -          -       -        -  (938)
Share premium account
cancelled                      -  (30,601)  30,601                  -        -      -
Issue expenses written         -         -      39          -       -        -     39
back
Buyback of shares           (84)         -   (364)         84       -        -  (364)
At 31 March 2007          16,394         -  49,443        737  12,232  (2,003) 76,803



Balance Sheet
As at 31 March

                                  31 March     31 March
                                      2008         2007

                                     £'000        £'000
 
Non current assets
Investments held at fair
value
through profit or loss              64,806       78,088
 
Current assets
Other receivables                      850        2,443
Cash and cash equivalents              811            -
                                     1,661        2,443
 
Total assets                        66,467       80,531
 
Current liabilities
Other payables                       1,970        2,635
Bank overdrafts                          -        1,093
                                     1,970        3,728
 
Net assets                          64,497       76,803
 
Equity attributable to
equity
holders
Ordinary share capital              15,596       16,394
Share premium                            -            -
Special reserve                     46,065       49,443
Capital redemption reserve           1,535          737
Capital reserve - realised          10,202       12,305
Capital reserve - unrealised       (6,628)         (73)
Retained earnings                  (2,273)      (2,003)
 
Total equity                        64,497       76,803
 
Net asset value per share           103.4p       117.1p
( note 5)


Cash Flow Statement
For the year ended 31 March

                                  31 March    31 March
                                      2008        2007

                                     £'000       £'000
 
Operating activities
(Loss)/profit before tax           (8,928)         700
Add back interest paid                  38          37
Less: (loss)/gain on
investments held
at fair value through profit         9,160     (3,096)
or loss
Purchases of investments
held at fair
value through profit or loss      (79,383)    (97,713)
Sales of investments held at
fair
value through profit or loss        85,477      58,760
Increase in other                     (21)           -
receivables
(Decrease)/increase in other       (1,359)       1,406
payables
 
Net cash inflow/(outflow)
from
operating activities before
interest
and taxation                         4,984    (39,906)
 
Interest paid                         (38)        (37)
Tax on overseas income                   -           -
 
Net cash inflow/(outflow)
from
operating activities                 4,946    (39,943)
 
Financing activities
Issue of shares                          -      40,810
Buy-backs of shares                (3,038)       (364)
Issue expenses paid                      -       (899)
Net cash (outflow)/inflow
from 
financing                          (3,038)      39,547
 
Increase/(decrease) in cash
and
cash equivalents                     1,908       (396)
Cash and cash equivalents at
start of
year                               (1,093)       (420)
Effect of foreign exchange
rate changes                           (4)       (277)
 
Cash and cash equivalents at
end of year                            811     (1,093)
 


Notes to the Financial Statements

1 Basis of Preparation

This preliminary announcement of the Company has been prepared in accordance
with International Financial Reporting Standards ("IFRS") and using the same
accounting policies as those in the last published annual accounts, being
those to 31 March 2007.

2 Income

                                    2008       2007
 
                                   £'000      £'000
 
Income from listed investments
Unfranked interest                   116         36
Overseas dividends                     -          -
                                     116         36
Other operating income                 6          8
Interest receivable
Total Income                         122         44



3 Investment Management Fees

                Revenue Capital   Total  Revenue Capital Total
                   2008    2008    2008     2007    2007  2007

                  £'000   £'000   £'000    £'000   £'000 £'000
 
Investment
Management
Periodic fee
 
                      -     471     471        -     437   437
Management fee        -     218     218        -     235   235
Performance fee
paid
                      -     169     169        -       -     -
Performance fee
accrual written
back
 
                      - (1,351) (1,351)        -   1,351 1,351
Irrecoverable
VAT thereon
                      -    (21)    (21)        -      25    25
                      -   (514)   (514)        -   2,048 2,048



As at 30 September 2007 a performance fee of £169,000 crystallised
and became payable and the £1,351,000 accrual at 31 March 2007 was reversed in
accordance with the performance fee arrangements. As at 30 September 2006 this
amount was accrued by the Company based on the cumulative outperformance of
the Company's net asset value over the benchmark index since the appointment
of OrbiMed Capital in 2005, As at 30 September 2007, based on the continued
out performance of the Company's net asset value over the benchmark for a
twelve month period, such fee crystallised and became payable.

Notes to the Financial Statements (continued)

4 (Loss)/earnings per share

Total loss per share of 13.8p (2007: gain 1.2p) is based on total loss
attributable to equity shareholders of £8,928,000 (2007: gain £700,000).

The revenue loss per share of 0.4p (2007:0.5p) is based on the revenue loss
attributable to equity shareholders of £270,000 (2007: £331,000).

The capital loss per share of 13.4p (2007: gain1.7p) is based on the capital
loss attributable to equity shareholders of £8,658,000 (2007: gain
£1,031,000).

Total loss, revenue loss and capital loss per share are based upon the
weighted average number of shares in issue throughout the year of 64,473,752
(2007: 59,520,000).

5 Net asset value per share

The net asset value per share is based on the net assets
attributable to equity shareholders of £64,497,000 (2007: £76,803,000) and on
62,385,963 (2007: 65,577,263) shares in issue at 31 March 2008.

6 Financial information

This preliminary statement is not the Company's statutory accounts. The above
results for 2008 have been agreed with the Auditors and are an abridged
version of the Company's full draft accounts which have not yet been filed
with the Registrar of Companies. The 2008 accounts have been prepared in
accordance with International Financial Reporting Standards ("IFRS").

The statutory accounts for the year end 31 March 2007 have been delivered to
the Registrar of Companies and those for 31 March 2007 will be despatched to
shareholders shortly. The 2007 accounts received an audit report which was
unqualified did not include a reference to any matter to which the auditors
drew attention without qualifying the report, and did not contain statements
under Section 237 (2) and (3) of the Companies Act 1985.

Frostrow Capital LLP

Company Secretary

13 June 2008

                                   - ENDS -