FCAP.L Regulatory News (FCAP)

FRM Credit Alpha Limited

(the "Company")

Notice of compulsory partial redemption of shares

Following on from the distributions of cash to shareholders in May 2011, July 2011, January 2012, June 2012 and November 2012 the Company has resolved to return approximately £2 million by way of a further compulsory partial redemption of shares (the "Redemption") at a price based on the Company's final NAV per share as at 28 February 2013. The Company's NAV as at 28 February 2013 is expected to be published on or around 21 March 2013. Payments of Redemption monies are expected to be effected either through CREST (in the case of shares held in uncertificated form) or by cheque (in the case of shares held in certificated form) by 29 March 2012. Certificated shareholders must send all of their share certificates to the Company's Registrar in order to receive their Redemption monies.

The Redemption will be effected pro rata to holdings of shares on the register at the close of business on 21 March 2013 (the "Redemption Date"). Based on the Company's current estimated NAV, approximately 20.96% per cent. of the Company's issued share capital (that is 20.96 shares for every 100 held (the "Redemption Ratio")) would be redeemed on the Redemption Date. Further more detailed information will be released in due course. Fractions of shares produced by the Redemption Ratio will not be redeemed and so the number of shares to be redeemed for each shareholder will be rounded down to the nearest whole number of shares. The Redemption is equivalent to approximately 18.02 pence per share.

The Redemption amount comprises the monies from the realisation of the Company's investments received up to and including 1 March 2013 pursuant to the managed wind-down of the Company, less the costs and expenses of this Redemption and cash being retained for the Company's working capital requirements. The costs and expenses of this Redemption are estimated not to exceed £5,000.

The Company currently has 11,099,438 shares in issue. All of the shares redeemed on the Redemption Date will be cancelled.

The shares will be disabled in CREST on the Redemption Date and the existing ISIN number GG00B8N4QW87 (the "Old ISIN") will expire. The new ISIN number in respect of the remaining shares which have not been redeemed will be enabled and available for transactions from and including 22 March 2013. Up to and including the Redemption Date, shares will be traded under the Old ISIN and as such, a purchaser of such shares may have a market claim for a proportion of the Redemption proceeds following the activation of the new ISIN. CREST will automatically transfer any open transactions as at the Redemption Dateto the new ISIN.

Enquiries:

Charles Lee 020 7144 2448

(Financial Risk Management Limited)

Jane Lewis 020 3100 0295

(Winterflood Investment Trusts)