Issue of Equity

Baronsmead VCT 2 PLC
5 July 2002

BARONSMEAD VCT 2 PLC

To:          RNS

Date:        5 July 2002


Issue of Equity

The Company announces that on 5 July 2002 it allotted and issued 78,377 new
ordinary shares of 10p each under the Dividend Reinvestment Scheme at a price of
100.43p.


The new shares increase the issued share capital to 41,016,575 ordinary shares.


An application for admission to listing has been made today in respect of the
78,377 new ordinary shares.


For further information please contact:


                                        Gary Fraser, Friends Ivory & Sime plc :
                                                            0131 465 1000




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