Net Asset Value(s)

India Capital Growth Fund Limited
07 March 2007


India Capital Growth Fund Limited
7 March 2007

28 February 2007 NAV Statement

India Capital Growth Fund Limited (the 'Company')

7 March 2007

Net Asset Values

The Company announces its net asset values per share as at 28 February 2007:

Net asset value per share - undiluted              89.03 p

Net asset value per share - fully diluted          90.86 p

Progress Update

NAV was down 8.5% on the month, reflecting across the board falls in global
equity markets during the last week of  February.  Domestically, the Union
Budget presented on 28th February was not well perceived by the market, which
saw  further significant falls on the last trading day of the month. During the
period the Rupee depreciated marginally  against Sterling.

The Company continued to increase its investment in the companies in its small
and mid-cap portfolio, increasing its   stakes in Arihant Foundations, Dabur
Pharma, Gruh Finance, Mahindra Ugine, SpiceJet and Standard Industries.

The holding in Arihant Foundations and Housing Ltd now represents 3.3% of the
portfolio. Arihant is one of the leading developers of residential and
commercial property in Chennai. The Company has built more than 5 mn sq. ft. of
built up area, including some of the most sought after residential buildings in
the city. The Company has a large land bank (land in possession under
development of various properties) of 16 properties, of which 14 are for
residential and two for commercial use. For its commercial developments, Arihant
has a list of prestigious clients including HCL Tech, Verizon, and Hutchison
Essar Limited. The Company is well regarded for its 'tech-friendly' building
structures, which has enabled it to attract tenants and buyers in the IT space.
The Company follows different models for commercial and residential properties -
leasing for commercial and outright sell for residential.


Arihant has a market cap of Rs 2,210 Mn (GBP 25 Mn) and ICGF's shareholding
represents some 8.8% of the issued equity capital. We believe that the present
market value per share of the company's 'land bank' is significantly above the
current share price.

In other activity, the Company continued to sell down in JSW Steel and some
smaller large cap holdings, so that cash  levels have risen since the end of
January.  The Company expects to be able to take advantage of market weakness to
further add to its core investee company shareholdings.

Summary of Holdings at 28 February 2007 by Size

Category                                                              No. of Companies                 % of portfolio
Small and Midcap and unlisted holdings                                          31                           81.0%
Large Cap holdings                                                               5                           11.4%
Total investments                                                               36                           92.5%
Cash                                                                                                          7.6%

Analysis of holdings by sector at 28 February 2007

Sector Summary                                          % of Portfolio
Media                                                                     14.0%
Financial Services                                                        11.2%
Housing & Construction                                                    10.5%
Textiles                                                                  10.3%
Engineering / Manufacturing                                                8.3%
Auto / Auto Comp                                                           7.0%
Oil Drilling, Equipment & Services                                         4.8%
Banks                                                                      4.8%
IT                                                                         4.3%
Airlines                                                                   4.3%
Shipping                                                                   3.8%
Pharmaceuticals                                                            3.4%
Steel / Iron Ore                                                           2.1%
Hotels                                                                     1.6%
Others                                                                     2.0%

                                                Total                     92.4%

Top 5 small and mid-cap Holdings 28 February 2007

Holding                                            Sector                               % of Portfolio
IOL Broadband                                      Media                                8.2%
S Kumars Nationwide                                Textiles                             7.3%
Asian Electronics                                  Engineering / Manufacturing          5.7%
Prime Focus                                        Media                                5.4%
Marwadi Shares                                     Financial Services                   4.5%





                      This information is provided by RNS
            The company news service from the London Stock Exchange