Ground Rents Regulatory News (GRIO)

THIS ANNOUNCEMENT IS NOT FOR RELEASE, PUBLICATION OR DISTRIBUTION, DIRECTLY OR INDIRECTLY, IN WHOLE OR IN PART, IN, INTO OR FROM THE UNITED STATES, CANADA, AUSTRALIA, THE REPUBLIC OF SOUTH AFRICA, THE REPUBLIC OF IRELAND OR JAPAN OR ANY OTHER JURISDICTION WHERE TO DO SO WOULD CONSTITUTE A BREACH OF THE RELEVANT SECURITIES LAWS OF SUCH JURISDICTION.

28 January 2015

Ground Rents Income Fund plc

Result of Placing

Ground Rents Income Fund plc ("GRIF" or "the Company") is pleased to announce that, further to its announcement on 12 January 2015, it has successfully raised approximately £9 million (before costs) through a placing of 8,451,428 new ordinary shares of 50 pence each in the Company ("New Ordinary Shares") at an issue price of 107 pence (the "Placing").

The net proceeds of the Placing will, after deducting all expenses (being approximately £214,000), be used to enable GRIF to complete a pipeline of investments including a number of option agreements that have been arranged by Brooks Macdonald Funds Limited, as Investment Adviser, on behalf of the Company. This would provide shareholders with further high-quality, income-producing assets.

The Placing is conditional on admission of the New Ordinary Shares to the Official List of the Channel Islands Securities Exchange Authority Limited (CISEA) and to trading on the SETSqx platform of the London Stock Exchange plc (LSE) (together, "Admission"). Application has been made to CISEA for all of the New Ordinary Shares to be admitted to the Official List and to the LSE for all the New Ordinary Shares to be admitted to trading on the SETSqx platform. It is expected that Admission will become effective, and that dealings in the New Ordinary Shares will commence, on 30 January 2015.

The New Ordinary Shares were placed by N+1 Singer, the Company's financial adviser and corporate broker.

Malcolm Naish, Chairman of GRIF, commented:

"We are delighted with the strong level of support shown for this oversubscribed capital raise. It reflects the continued backing of the Company's strategy, which is to provide secure long-term performance through investment in long-dated UK ground rents. The ground rents sector continues to perform strongly and the Company's Investment Adviser has identified an exciting pipeline of suitable investment opportunities."

Total Voting Rights

Immediately following Admission, the Company's issued share capital will consist of 92,965,711 ordinary shares. This figure may be used by shareholders as the denominator for the calculations by which they will determine if they are required to notify their interest in, or a change to their interest in, the share capital of the Company.

The New Ordinary Shares will rank pari passu with, and will have the same rights as, the ordinary shares of the Company already in issue, and will rank equally for dividends with existing ordinary shares.

Expected Timetable

Contacts:

Website: www.groundrentsincomefund.com