MCAP.L Regulatory News (MCAP)

The information contained herein may only be released, published or distributed in the United Kingdom, the Isle of Man, Jersey and the Bailiwick of Guernsey in accordance with applicable regulatory requirements. The information contained herein is not for release, publication or distribution in or into the United States, Australia, Canada, Japan, South Africa, the Republic of Ireland or in any other jurisdiction where it is unlawful to distribute this document. The bonds referred to below may only be sold in Jersey in compliance with the provisions of the Control of Borrowing (Jersey) Order 1958 and the Financial Services (Jersey) Law 1998, as amended.

LAUNCH OF RETAIL CHARITY BOND

HIGHTOWN PRAETORIAN & CHURCHES HOUSING ASSOCIATION RETAIL CHARITY BOND 4.40%DUE 2025

Retail Charity Bonds PLC today announces the launch of the Hightown Praetorian & Churches Housing Association Retail Charity Bond offering 4.40% due 2025 (the "Bond"). This is the second bond to be issued through the Retail Charity Bonds platform, which was created as an issuing vehicle to enable UK charities to raise medium term debt finance through bonds issued to retail and wholesale investors.

The Bonds will be issued by Retail Charity Bonds PLC and the funds raised will be loaned, via a loan agreement, to Hightown Praetorian & Churches Housing Association Limited ("Hightown" or the "Charity") a social housing provider. The Bonds are available to wholesale and retail investors.

The Bonds will pay a fixed rate of interest of 4.40% per annum, payable twice yearly on 30 October and 30 April of each year with the first coupon payment being made on 30 October 2015. The Bonds are expected to mature on 30 April 2025 with a final legal maturity on 30 April 2027.

At any time during the life of the Bond, investors are permitted to sell the Bonds (within market hours and in normal market conditions) on the open market through their stockbroker.

Canaccord Genuity Ltd is acting as Lead Manager on the issue.

The Bonds have a minimum initial subscription amount of £500 and are available in multiples of £100 thereafter. The offer period is expected to close at 12 noon on 27 April 2015. The Issuer retains the right to close the offer early, in conjunction with the Lead Manager.

The Bonds are expected to be listed on the UK Listing Authority's Official List and admitted to trading on the London Stock Exchange's regulated market and through the electronic Order book for Retail Bonds.

Retail Charity Bonds, launched last year, is an initiative of social investment charity Allia, established in association with Canaccord Genuity and supported by Cabinet Office and a range of City patrons.

The Authorised Distributors are:

· iDealing

· Interactive Investor

· Redmayne Bentley

David Bogle, CEO of Hightown Praetorian & Churches Housing Association Limited, commented:

"This bond issue provides an opportunity to invest in a local charitable housing association which helps homeless people, people with disabilities and people who cannot afford to buy or rent at market rates in Herts, Bucks or Beds. The funds raised will enable Hightown to continue to build and develop new affordable homes in an area of very high demand and need."

Tim Jones, Chief Executive of Allia, added:

"Following the successful launch of retail charity bonds last year, Allia is delighted to enable Hightown to provide more housing and support for vulnerable people through this platform" 

Adrian Bell, Head of Debt Markets UK, Canaccord Genuity said:

"This new issue from Retail Charity Bonds for Hightown is another step towards making buying bonds in charitable and ethical enterprises a mainstream investment activity"

For further information, please see Hightown's website: www.hpcha.org.uk/bond

 For enquiries please contact:

About Hightown Praetorian & Churches Housing Association

Hightown Praetorian & Churches Housing Association Limited is a charity incorporated in 1967. It is the result of a number of mergers of Hertfordshire housing associations which had been formed in the late 1960s and early 1970s to help address the homeless and affordable housing problems of that era - problems that had been highlighted by the 'Cathy Come Home' television play.

Hightown has grown considerably since 2003, largely as a result of an active, new build development programme.

The Charity operates in Hertfordshire, Buckinghamshire and Bedfordshire with its head office located in Hemel Hempstead.

It manages over 4,400 homes and employs about 600 full and part time staff. As at 31 March 2014, the Charity had an annual turnover of £45 million and assets of £398 million.

The Charity has three main activities:

· it is a social landlord managing over 4,400 units of housing of which approximately 2,602 are affordable homes for rent, 667 are supported housing units, 598 are homes for shared ownership and 566 are leasehold homes,

· a provider of housing and support to people with support needs including people with learning disabilities and mental health problems, young people and homeless people (approximately 860 clients and 10,000 hours of support a week), and

· a developer of new affordable housing at a rate of approximately 300 new homes a year.

The Charity's revenue is mostly generated by the provision of social housing and specialist landlord services including:

· Rental revenues from General Needs, Supported Housing and Care & Nursing Homes, which account for approximately 72% of the revenue, and

· Shared Ownership Rental, Staircasing and Sales for approximately a further 26% of the revenue, and

· The remaining 2% includes Management Services and Charity Shop Revenues.

About Retail Charity Bonds

Retail Charity Bonds is a platform that issues retail eligible bonds for UK charities. It is an initiative of Allia, a UK charity and social investment specialist, and established in association with Canaccord Genuity.Retail Charity Bonds PLC is a public limited company; it was established as a special purpose issuing vehicle but is not itself a charity. It is governed by an independent and experienced board of directors from the financial and charity sectors who are acting on a pro-bono basis.

The platform is also supported by a range of patrons, including Cabinet Office, Allen & Overy, Bank of New York Mellon, Bell Pottinger, Berwin Leighton Paisner, Big Society Capital, Ecclesiastical Investment Management, Linklaters, London Stock Exchange, Prudential Trustee Company Limited, Rathbones and Threadneedle Investments.

For more information visit www.retailcharitybonds.co.uk

About the bonds

1. The bonds may not be suitable for all investors. Investors should ensure they fully understand the risks and seek independent financial advice.

2. Investors should note that the market price of the bonds can rise and fall during the life of the investment and the price of the bonds could fall below the issue price of £100.

3. In the event that Retail Charity Bonds PLC or Hightown Praetorian and Churches Housing Association Limited defaults, becomes insolvent or goes out of business, investors may lose some or all of their investment.

IMPORTANT INFORMATION

This announcement is an advertisement and is not a prospectus for the purposes of EU Directive 2003/71/EC, as amended, and/or Part VI of the Financial Services and Markets Act 2000 (the "FSMA"). A prospectus dated 31 March 2015 (the "Prospectus") has been prepared and made available to the public as required by Part VI of the FSMA. Investors should not subscribe for any bonds referred to in this announcement except on the basis of information in the Prospectus. Full information on Retail Charity Bonds PLC and the offer of the bonds is only available on the basis of the combination of the Prospectus and this announcement which have been published by Retail Charity Bonds PLC on the Regulatory News Service operated by the London Stock Exchange.

The restriction on financial promotions contained in section 21(1) of the Financial Services and Markets Act 2000 does not apply to this announcement by virtue of article 70(1A) of the Financial Services and Markets Act 2000 (Financial Promotion) Order 2005, as amended.

The offering and the distribution of this announcement and other information in connection with the offer in certain jurisdictions may be restricted by law and persons into whose possession any document or other information referred to herein comes should inform themselves about and observe any such restriction. Any failure to comply with these restrictions may constitute a violation of the securities laws of any such jurisdiction.

This announcement does not constitute or form part of any offer or invitation to sell, or any solicitation of any offer to purchase any Bonds. Any purchase of Bonds pursuant to the offer should only be made on the basis of the information contained in the prospectus dated 31 March 2015 (the "Prospectus". The Prospectus is available at the website of Retail Charity Bonds PLC and Hightown Praetorian and Churches Housing Association Limited as above and the website of the London Stock Exchange plc (www.londonstockexchange.com/newissues).

The Bonds have not been and will not be registered under the United States Securities Act of 1933 (as amended) (the "Securities Act") and, subject to certain exceptions, may not be offered or sold within the United States or to United States persons. The Bonds are being offered and sold outside of the United States in reliance on Regulation S of the Securities Act.