BSI Bioscience Inv

RNS No 6531k
BARING STRATTON INVESTMENT TRUST PLC
14th January 1998

Baring Stratton Investment Trust plc
Unitisation Proposals

Key Features


 1.  The  Board  announces Proposals for the  Unitisation  of
 Baring Stratton which it believes will provide shareholders
 with  a flexible range of options whilst providing  a  tax
 efficient roll-over for shareholders' investment.

 2. The  Scheme will provide for Baring Stratton to  be  put
 into  members voluntary liquidation, effective 20 February
 1998  and  for the division of its business between  three
 unit  trusts - Baring Portfolio Fund, Baring Global Growth
 Trust  and Baring Global Bond Trust (the "Unit Trusts")  -
 which will issue units to Baring Stratton shareholders.

 3. Shareholders will be able to elect to receive any of the
 three options in any proportion.

 4. Shareholders electing for the Baring Global  Bond  Trust
 may  elect  to  redeem units they receive immediately  for
 cash.


Part I

  Proposals for a Scheme of Unitisation

The Board of Baring Stratton Investment Trust plc ("Baring
Stratton") announces a Scheme of Unitisation (the
"Scheme").  A document describing the Proposals, including
notices of two Extraordinary General Meetings will be
posted today to shareholders of Baring Stratton.

The Board is being advised by Cazenove & Co.

  Background

The Board has for some time been concerned at the value
attributed to the Company's Ordinary Shares by the market.
The Company's investment manager has provided shareholders
with an above average investment performance and yet the
Ordinary Shares have in recent years tended to trade at a
relatively large discount to NAV, when compared with the
shares of other investment trusts with a similar investment
policy.  As at 31 December 1997 the discount on the
Ordinary Shares was 21.1 per cent. compared with an average
discount for international capital growth investment trusts
of 14.0 per cent. and an average discount for all
investment trusts of 12.4 per cent.  Whilst aware of
changes in the investment industry which may have reduced
the demand for generalist investment trusts, the Board
believes the relatively small size of the Company and the
relative illiquidity of its Ordinary Shares have
contributed to this situation.

A number of options have been considered with the Company's
advisors to reduce this discount, including taking powers
to buy in Ordinary Shares.  However, the Board was
concerned that any reduction in the discount resulting from
such measures might well prove temporary and ultimately
would be likely to exacerbate the problem.  The Directors,
having considered, inter alia, the costs of the various
options and the discounts on which other international
investment trusts trade, have consequently decided to
propose to shareholders to unitise the Company.

  Summary of Proposals

Under the Proposals the Company will be placed into
voluntary liquidation and shareholders may elect to
receive, in exchange for their Ordinary Shares, units in
any of the following Unit Trusts:

Baring Portfolio Fund:

  This unit trust aims to achieve growth in capital and
income by investing in any country and in any economic
sector of the world.  The investment policy is that the
fund is managed as though it were a large, actively managed
portfolio of a UK based private client.  The Portfolio Fund
primarily consists of a spread of UK and international
investments in both equities and fixed income securities.
The fund is managed to provide both capital growth and a
degree of income and currently yields 2 per cent.

Baring Global Growth Trust:

  This unit trust aims to achieve long-term capital by
investing in any country and in any economic sector of the
world through a wide range of international markets.  The
investment policy takes into account the relative size of
individual markets when compared to the market
capitalisation of the world market and seeks to enhance
total return by taking overweight positions  in the
relatively more attractive markets.  The fund currently has
a yield of 0.1 per cent.

Baring Global Bond Trust:

  This unit trust aims to achieve income and long-term
capital growth through investment world-wide in securities
bearing fixed and variable rate income, via the global bond
markets and, where appropriate, securities with equity
participation.  On a diversified basis, it seeks to
generate returns in sterling which are superior to those
available in UK Gilts.  The fund is currently yielding 4.6
per cent.

Redemption Option:

  Shareholders electing both to receive Baring Global Bond
Trust Units and for the Redemption Option will be issued
with Baring Global Bond Trust Units but this election will
also constitute a request for such units to be redeemed
immediately for cash.

  Benefits to Shareholders

The Board considers that the unitisation proposals provide
a number of attractive features to Shareholders:

a)Shareholders wishing to retain an international equity
  exposure are being offered a choice of two unit trusts,
  the Baring Portfolio Fund and the Baring Global Growth
  Trust, with good investment track records, in addition,
  the Baring Global Bond Trust is being offered as a fund
  specialising in fixed income securities.

b)Units in the Unit Trusts trade at prices which fully
  reflect their underlying net asset value unlike the
  Ordinary Shares of Baring Stratton which currently trade
  at a discount of some 21 per cent..

c)No preliminary charge will be levied on the units of the
  Unit Trusts issued under the Proposals.

d)In electing for any of the Unit Trusts, no liability to
  capital gains tax should be crystallised unless the
  Shareholder elects for the Redemption Option.

e)For those Shareholders who wish to realise their
  investment, the Proposals provide the opportunity to
  take a cash exit at close to net asset value through the
  redemption of the units they receive in the Baring
  Global Bond Trust.


  Scheme

The Scheme will provide for Baring Stratton to be put into
members' voluntary liquidation and for  the division of
Baring Stratton's business and assets (after taking into
account, inter alia, the expenses of the Scheme and the
assets to be retained by the liquidators of Baring Stratton
to provide for the liabilities of Baring Stratton) into
separate funds to be transferred to the successor
investment vehicles.  To the extent that the Liquidation
Fund is not required, any cash balance remaining in the
hands of the Liquidators on the termination of the
liquidation  will be paid as one or more Liquidation
Distributions to shareholders on the register on the Record
Date pursuant to the Scheme (except that, if the amount
payable to any Shareholder is less than #3.00, it shall be
transferred pro rata to the Unit Trusts).

The Liquidators will be Christopher John Barlow and
Christopher John Hughes, both of Coopers & Lybrand.

The Record Date for the Scheme will be the close of
business on 4 February 1998.

  Articles of Association

In order to effect the Proposals, the Company's Articles
require amendment so as to enable the Scheme to be
implemented.

For the purposes of the Scheme, it is necessary to
reorganise the whole of the share capital of the Company so
as to reflect the rights of the shareholders of the Company
to receive units in the Unit Trusts which they elect to
receive under the Scheme.

  Interim Dividend

The Directors, in proposing the unitisation of the Company
close to the end of its financial year, have considered the
income position of shareholders and the requirement to
distribute sufficient income to retain investment trust
status.  The Directors have therefore decided to declare an
interim dividend of 2.29p per Ordinary Share in respect of
the year ending 31 March 1998, the same as the total
dividend for the year ended 31 March 1997, which will be
payable on 18 February 1998 to those shareholders on the
register on 30 January 1998.  The payment of this dividend
is not contingent on the approval of these Proposals by
shareholders.

  Stock Exchange dealings and settlement

The register of shareholders of the Company will be closed
at 3.00 p.m. on 4 February 1998.  The last day for dealings
in the Ordinary Shares on the London Stock Exchange on a
normal rolling five day settlement basis will be 28 January
1998.  As and from 29 January 1998 dealings should be for
cash settlement only and will be registered in the normal
way if the transfer, accompanied by documents of title, is
received by the Company's registrars by 3.00 p.m. on 4
February 1998.  Transfers received after that time will be
returned to the person lodging them.  It is expected that
dealings on the London Stock Exchange in the Ordinary
Shares will be suspended with effect from close of dealings
on 4 February 1998 and Ordinary Shares are expected to be
delisted some time after the Company's assets have been
transferred to the Unit Trusts in accordance with the
Scheme.  The Ordinary Shares are expected to be disabled in
CREST on 4 February 1998.

Shareholder Meetings

The implementation of the Proposals will require two
Extraordinary General Meetings which are being convened for
6 February 1998 and for 20 February 1998 respectively.

First Extraordinary General Meeting

The First Extraordinary General Meeting is being convened
for 10.30 a.m. on 6 February 1998.  At this meeting,
special resolutions will be proposed to reclassify the
Ordinary Shares for the purpose of the Scheme, to approve
the Scheme and make the necessary changes to the Articles
and authorise the implementation of the Scheme by the
Liquidators.  The Scheme will not become effective until
the passing of the resolutions to be proposed at the Second
Extraordinary General Meeting.  The resolutions will
require the approval of 75 per cent. of the votes cast by
those shareholders present in person or by proxy.

Second Extraordinary General Meeting

The Second Extraordinary General Meeting is being convened
for 10.30 a.m. on 20 February 1998.  At this meeting a
further special resolution and an extraordinary resolution
will be proposed for the winding-up of the Company and the
appointment of the Liquidators.  The resolutions will
require the approval of 75 per cent. of the votes cast by
those shareholders present in person or by proxy.

Part II

Miscellaneous

1.This announcement is issued by Baring Stratton and
approved for the purposes of section 57 of the Financial
Services Act 1986 by Cazenove & Co., financial adviser to
Baring Stratton and a member of the Securities and Futures
Authority Limited.

2.Cazenove & Co. is acting for Baring Stratton and is not
acting for shareholders of Baring Stratton and will not be
responsible to them for providing protections afforded to
its customers or advising them on the Scheme.

3.Certain restrictions may apply to Overseas Shareholders
of Baring Stratton.  It is the responsibility of any
Overseas Shareholder to satisfy himself as to the
observance of the laws of the relevant jurisdiction in
connection with the Scheme.

4.If you are in any doubt as to your position or your tax
position, or if you may be subject to the laws of or to
taxation in a jurisdiction other than the United Kingdom,
you should consult your appropriate professional adviser.

ENQUIRIES

Please contact:

The Rt. Hon. Lord Ashburton (Chairman)
0171 628 6000

Richard Buxton, Baring Fund Managers (Unit Trusts):   0171 628 6000

Melville Trimble, Cazenove & Co:                      0171 588 2828

END

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