Interim Management Statement

THE BIOTECH GROWTH TRUST PLC                          

    Interim Management Statement - 3 months to 31 December 2010 (unaudited)    

The Biotech Growth Trust PLC seeks capital appreciation through investment in
the worldwide biotechnology industry principally by investing in emerging
biotechnology companies.

In the three month period ended 31 December 2010 the Company's net asset value
per share rose by 4.9% compared to a rise of 9.3% in the Company's benchmark,
the NASDAQ Biotechnology Index, measured in sterling terms. The Company's share
price rose by 6.4% during the three-month period as the discount of share price
to net asset value per share narrowed from 5.9% to 4.5%. The Company's
underperformance when compared to the benchmark, was due, in part, to a
relatively high exposure to major biotechnology companies which lagged emerging
biotechnology companies particularly in December. The Company's Investment
Manager, however, believes that major biotechnology names, while somewhat out
of favour, remain cheap and represent good value. Other contributors to the
Company's underperformance included the portfolio's underweight position in
specialty pharmaceutical names, which performed well in the period, the absence
from the portfolio of strong-performing biopharmaceutical company InterMune and
the portfolio's overweight holding in take-over target Genzyme, which had a
quiet quarter in a rising market. The Company's Investment Manager believes
that an increased bid will be forthcoming from Sanofi-Aventis for Genzyme.
During the period 469,252 shares were repurchased by the Company for
cancellation at an average discount of 8.7%.

In the period from 31 December 2010 to 9 February 2011, the Company's net asset
value per share fell by 2.3% and the share price by 2.2%. The Company's
benchmark fell slightly more, by 3.1%. During this period a further 79,170
shares were repurchased for cancellation by the Company at an average discount
of 6.3%. As at the date of this report there are 65,321,387 shares in issue.

Any remaining uncertainty concerning the impact of US healthcare reform on
near-term earnings should be resolved once companies issue 2011 guidance and a
number of high profile product launches should help to boost sentiment in the
biotechnology sector. A possible reduction in the tax liability that would be
levied against large US pharmaceutical companies, if they agreed to repatriate
cash from overseas back to the US, could have a stimulating effect on domestic
M&A activity.

Trust Characteristics

                               31 December 2010          30 September 2010    
                                                                              
Number of Holdings                    39                        34            
                                                                              
Net Assets (£m)                     115.9m                    111.2m          
                                                                              
Gearing (AIC basis)                   100                       100           
                                                                              
Share Price (p)                     169.25                    159.00          
                                                                              
NAV (p)                             177.23                    168.88          
                                                                              
Discount of share price to           4.5%                      5.9%           
net asset value per share                                                     

Source: Frostrow Capital LLP

Geographical Analysis

                               % of portfolio             % of portfolio      
                                                                              
                             at 31 December 2010       at 30 September 2010   
                                                                              
North America                       78.5                       82.2           
                                                                              
Continental Europe                   8.7                       8.5            
                                                                              
UK Listed                            5.9                       5.5            
                                                                              
Israel                               5.0                       2.8            
                                                                              
Unquoted                             1.1                       1.0            
                                                                              
Far East                             0.8                        -             
                                                                              
Total                               100.0                     100.0           

Source: Frostrow Capital LLP

10 Largest Investments

Name

                                % of portfolio            % of portfolio      
                                                                              
                              at 31 December 2010      at 30 September 2010   
                                                                              
Amgen                                 7.0                       8.1           
                                                                              
Shire                                 5.9                       5.5           
                                                                              
Gilead Sciences                       5.7                       5.7           
                                                                              
Celgene                               5.2                       5.1           
                                                                              
Genzyme                               5.1                       6.5           
                                                                              
Teva Pharmaceutical                   5.0                       2.8           
                                                                              
BioMarin Pharmaceutical               4.6                       4.0           
                                                                              
Vertex Pharmaceuticals                4.5                       1.8           
                                                                              
Illumina                              4.1                       3.8           
                                                                              
Ariad Pharmaceuticals                 4.0                       3.5           
                                                                              
Total                                51.1                      46.8           

Source: Frostrow Capital LLP

Performance to 31 December 2010

                3 Months        1 Year         3 Years         5 Years        
                                                                              
Share Price     +6.4%           +15.5%         +56.0%          +40.2%         
                                                                              
NAV per share   +4.9%           +16.8%         +55.7%          +44.0%         
                                                                              
Benchmark*      +9.3%           +19.1%         +47.8%          +35.3%         

Source: Bloomberg & Morningstar

* Benchmark - NASDAQ Biotechnology Index measured in sterling terms.

Past performance is not a guide to future performance.

This Interim Management Statement has been prepared solely to provide
information to meet the requirements of the UK Listing Authority's Disclosure
and Transparency Rules.

This Interim Management Statement is available on the Company's website 
www.biotechgt.com.

The Company's net asset value per share is announced daily and is available,
together with the share price, on the TrustNet website at www.trustnet.com

SEDOL Code:

Ordinary shares - 0038551

ISIN -

Ordinary Shares GB0000385517

For further information contact: Mark Pope on 0203 008 4913

Frostrow Capital LLP

Company Secretary

15 February 2011