Capital Gearing Trust Finalizes 10-for-1 Share Split, Boosting Total Shares to 265.8 Million Ordinary Shares

Details on Capital Gearing Trust’s 10-for-1 Share Split and Effective Date

On 21 July 2026, Capital Gearing Trust P.l.c. announced the completion of its 10-for-1 share subdivision, following shareholder approval granted at the Annual General Meeting on 8 July 2026. This subdivision converted each existing Ordinary Share with a par value of 25 pence into ten New Ordinary Shares of 2.5 pence each, preserving shareholder economic interests while modifying the capital structure. The last trading day for the existing shares was 22 July 2026, with the record date set at 6:00 p.m. that day to enable overnight processing by the London Stock Exchange.

Trading of the New Ordinary Shares commenced at 8:00 a.m. on 23 July 2026 upon admission to the Official List, ensuring a seamless transition to the new share structure. The company received new securities identifiers to reflect this change: ISIN GB00BT66KP92 and SEDOL BT66KP9. Importantly, the CGT ticker symbol was retained to maintain investor familiarity and continuity in trading.

Post-Split Issued Share Capital and Treasury Shares Overview

Following the split, Capital Gearing Trust’s total issued share capital now consists of 265,802,630 New Ordinary Shares at 2.5 pence each. This represents a tenfold increase in share count consistent with the subdivision ratio. The company holds 109,360,550 Treasury shares, which do not carry voting rights and are excluded from shareholder voting and FCA disclosure calculations.

The Treasury shares account for approximately 41% of total issued capital but are excluded from voting rights, resulting in 156,442,080 shares carrying voting privileges. This distinction is critical for investors monitoring voting power and regulatory disclosure thresholds. Treasury shares provide Capital Gearing Trust with flexibility for future capital management, including potential share cancellation, reissuance, or use in employee incentive schemes.

Voting Rights Denominator and FCA Disclosure Thresholds

Capital Gearing Trust has formally notified the market that the total voting rights outstanding as of 23 July 2026 amount to 156,442,080. This figure serves as the denominator for shareholders to calculate whether they must notify changes in their voting interests under the Financial Conduct Authority’s Disclosure Guidance and Transparency Rules. This updated denominator supersedes all previous figures for threshold calculations.

Under FCA regulations, shareholders crossing notification thresholds—such as 3%, 4%, 5%, and subsequent percentage points—must disclose their holdings. Although the percentage thresholds remain unchanged, the absolute number of shares corresponding to each threshold has increased tenfold due to the split. For instance, a 5% holding now equates to approximately 7.82 million New Ordinary Shares, compared to roughly 782,000 shares pre-split. Shareholders near these thresholds should review their positions to ensure compliance with notification requirements post-split.

New Securities Identifiers and Market Continuity with CGT Ticker

To reflect the share structure change, Capital Gearing Trust was assigned a new ISIN (GB00BT66KP92) and SEDOL (BT66KP9). These identifiers facilitate accurate clearing, settlement, and market data processing. Custodians and trading platforms have updated their systems accordingly to ensure smooth post-split operations.

Despite these new identifiers, the company retained its CGT ticker symbol on the London Stock Exchange. This decision preserves investor recognition and trading continuity, allowing shareholders to transact under the familiar symbol while their share counts have been adjusted automatically by custodians.

About Capital Gearing Trust and Its Market Role

Capital Gearing Trust P.l.c. is a London Stock Exchange-listed investment company regulated by the Financial Conduct Authority. It operates as a closed-ended fund managed by CG Asset Management Limited, aiming to deliver long-term capital and income growth through a diversified portfolio. The trust adheres to stringent governance, disclosure, and regulatory standards applicable to public limited companies.

The recent share split aligns with the company’s strategic capital management objectives, likely intended to enhance share liquidity, lower nominal share prices to attract retail investors, and streamline settlement processes.

Strategic Rationale Behind the 10-for-1 Share Split

The 10-for-1 share split, approved at the 8 July 2026 AGM, reflects common practices among investment trusts to improve market accessibility. By lowering the nominal price per share, the split broadens the potential investor base, particularly among retail participants. Reduced share prices can also narrow bid-ask spreads percentage-wise, enhancing liquidity and trading activity. Additionally, the split helps align share prices with peers and historical norms within the sector.

Operationally, the subdivision simplifies corporate actions and reduces fractional share complications. Although the total economic value remains unchanged, shareholders now hold ten times as many shares at one-tenth the price, preserving proportional ownership while potentially increasing market appeal.

Trading Transition and Settlement Process

The company structured the transition to minimize market disruption. Trading in Existing Ordinary Shares ceased on 22 July 2026, with the record date at 6:00 p.m. that day to enable overnight processing. Shareholders holding shares at close of business on 22 July automatically received ten times the number of New Ordinary Shares credited shortly after 23 July 2026.

New Ordinary Shares began trading at 8:00 a.m. on 23 July 2026, ensuring the market opened with the updated share structure. This "ex-split" approach avoids settlement issues during the transition and requires investors and brokers to update systems accordingly.

Compliance and Disclosure Under FCA Regulations

The announcement complies with Disclosure and Transparency Rule 5.6.1A, mandating notification of changes in voting rights and denominators for disclosure calculations. The official notification of 156,442,080 voting rights as of 23 July 2026 provides market participants with accurate data for regulatory compliance.

This clarity is crucial during the post-split period when shareholders may adjust holdings or reassess disclosure obligations. The company’s explicit guidance ensures consistent application of FCA rules by investors, advisers, custodians, and market data providers.

Market Data Updates and Investor Platform Integration

The new ISIN and SEDOL codes require coordination with financial data providers, custodians, and investment platforms to update records and reflect the 10-for-1 split. Providers like Bloomberg and Thomson Reuters have adjusted their databases to link old and new identifiers and apply the split ratio to investor holdings.

Shareholders holding CGT shares through brokerage or pension accounts have seen automatic adjustments to share counts and cost bases. The retention of the CGT ticker symbol simplifies integration across trading platforms, maintaining seamless access and trading under the familiar market symbol.

Outlook and Investor Considerations Post-Share Split

With the share split effective from 23 July 2026, Capital Gearing Trust operates with 265.8 million issued shares, including 156.4 million voting shares. This restructuring is expected to improve stock accessibility and liquidity, particularly attracting retail investors. The company’s regulatory and governance frameworks remain unchanged, and investors should monitor ongoing disclosures for updates on performance and capital management.

The split does not affect the fundamental value or investment characteristics of the trust. Shareholders maintain proportional economic interests, subject to investment outcomes and distributions. The updated voting rights denominator is now the standard for FCA notification thresholds, requiring shareholders crossing these levels to comply with disclosure rules. CG Asset Management Limited continues to manage the portfolio, while the Board oversees governance. Investors are advised to review their holdings and disclosure obligations in light of the new share structure and seek independent financial advice as needed.