Gartmore Growth Opportunities plc announces an offer of ‘C’ shares

Gartmore Growth Opportunities (“GGO” or the “Company”) is pleased to announce an offer for subscription of up to 25,000,000 conversion shares (“‘C’ Shares”) (the “Offer”).

The ‘C’ Shares will be issued at 200 pence per ‘C’ Share, raising up to £50m of new capital before costs. This Offer reflects the expression of significant interest by potential investors to purchase Shares in the Company.

GGO aims to be one of the leading investment trusts in its sector. The Company invests primarily in the shares of UK quoted smaller companies with a wide range of market capitalisations, targeting sustained returns even in difficult markets. The Company is able to use borrowings to enhance returns at times when the market is rising, whilst conversely when markets are vulnerable it can either hold cash or equity market PUT options to preserve capital.

In addition, GGO’s innovative capital structure, instituted in the restructuring of 2005, allows Shareholders, under certain circumstances, to subscribe for Shares and, generally on a quarterly basis, to redeem Shares. This structural flexibility is designed to reduce the risk that the Company’s Shares trade at a significant discount to NAV.

The Offer permits a number of major new investors to invest in the Company. It is also expected to bring several benefits to the shareholders and the Company;

making GGO a more attractive option for mergers with and rollovers from other investment trusts in the UK small cap sector;

the potential for increased liquidity of trading in its shares, and
a lower total expense ratio.

Gervais Williams, Investment Manager of GGO, commented: “We believe that there are many attractive opportunities in the smaller companies, particularly AIM, universe at present and that GGO is well placed to take advantage of this potential given its ability to invest in the full range of smaller UK quoted stocks.”

The Offer is being made pursuant to the existing allotment authority for the ‘C’ Shares taken initially in the restructuring of 2005 and renewed at the Annual General Meeting held in October 2006.

PROCEDURE FOR SUBSCRIPTION

The Prospectus published today contains full details of the Offer and also contains an application form. The Prospectus is available from the Company and can be viewed online at gartmore.co.uk. Those wishing to subscribe for ‘C’ Shares under the Offer should contact Gartmore Investment Management Limited:

Melissa Jones: 020 7782 2124
Ian Beveridge: 020 7782 2655