Net Asset Value Adjustment (unaudited)

Ventus 2 VCT plc

27 September 2011

Further Adjustment to Net Asset Value of Investments in Biomass Companies (unaudited)

On 6 June 2011, the Company announced that it was recording write-downs on its investments in three companies building and operating biomass power plants. The companies were PBM Power Limited ("PBM"), Sandsfield Heat and Power Limited ("SHPL") and Twinwoods Heat and Power Limited ("THPL"). The write-downs totalled £2,454,000, with PBM being written down by £1,104,000, SHPL being written down by £950,000 and THPL being written down by £400,000. The written-down values, including accrued interest on mezzanine loan stock, (PBM: £nil, SHPL: £2,096,000, THPL: £2,045,000) were reflected in the financial statements of the Company for the year ended 28 February 2011.

For the reasons set out below, the Board believes it is appropriate at this stage to record write-downs of the remaining balances of the investments in SHPL and THPL, including the interest accrued on the mezzanine loan stock. The effect of the further write-downs of SHPL and THPL is to reduce the Company's NAV by £4,141,000, or 16.87 pence per share.

The financial statements of the Company for the year ended 28 February 2011 outlined the key factors impacting on the valuation of SHPL and THPL and stated that the valuations were subject to a high degree of uncertainty. The financial statements also stated that the validity of the valuation assumptions was dependent on the completion of renegotiation of contracts and debt finance terms with third parties which were in progress at the date of preparation of the financial statements.

Bioflame Limited ("Bioflame"), the technology provider and contractor for the biomass power plants owned by PBM, SHPL and THPL, has become insolvent and stopped trading as a result of withdrawal of support of its principal backer. On 23 September 2011, Bioflame held a meeting with its creditors and shareholders to consider the appointment of a liquidator. The financial, technical and operational stability of Bioflame was an important factor supporting the Company's valuations of SHPL and THPL as at 28 February 2011. Bioflame's ceasing to trade has also resulted in a suspension of the contract renegotiations referenced above.

The Company's investment manager, Temporis Capital LLP ("Temporis"), is continuing to work with PBM, SHPL and THPL, as well as with the lending banks to these investee companies and with external engineering consultants, with a view to developing a plan for bringing the biomass power plants forward to sustainable operation. At the present time, the likely outcome of these efforts is uncertain.

Effective Recovery of £530,000 Loaned to PBM Power Limited

The Company disclosed in its financial statements for the year ended 28 February 2011 that an unsecured loan of £530,000 was made to PBM to fund its operating expenses. This loan was not approved by the Ventus Investment Committee of Climate Change Capital Limited (the investment manager at the time) and was recognised as a realised capital loss in the financial statements for the year ended 28 February 2011.

In order to reinforce the Company's financial position, Temporis has agreed to advance £530,000 to the Company, interest free. Temporis has further agreed to rebate to the Company future management fees amounting to £530,000.

Enquiries should be directed to Robin Smeaton at The City Partnership (UK) Limited on 0131 243 7210.