Wellcome Trust prices £400 million bond

DO NOT DISTRIBUTE IN THE UNITED STATES

The issue priced at a spread over gilts of 58 basis points. It is our belief that this is the tightest spread for a non-government related issuer in the Sterling market since the financial crisis of September 2008. It is also our belief that the implied nominal coupon of 4.00 per cent is the lowest for a non-government related issuer in the Sterling market for a bond with a maturity in excess of 40 years. The initial order book was more than three and a half times over-subscribed.

The Wellcome Trust is dedicated to driving extraordinary improvements in human and animal health. It holds a diversified investment portfolio valued at £17.3 billion (£16.4 billion net of bond liabilities) as of September 30, 2013, and spends approximately £700 million a year on its charitable activities.

The Wellcome Trust’s investments have returned a total of £7 billion (57 per cent cumulative, 9 per cent annualised) in the five years to September 2013 (its last financial year) since the start of the global financial crisis in September 2008, recording positive returns in each of the five years. Returns have been 10 per cent annualised over 10 and 20 years.

The Wellcome Trust is currently rated Aaa (stable) by Moody’s and AAA (stable) by Standard & Poor’s and it is its policy to maintain these ratings. The Wellcome Trust issued two previous bonds, in 2006 and 2009, and was the first UK charity to do so.

Danny Truell, Chief Investment Officer of the Wellcome Trust, said: "We are delighted at the continued strong investor interest in us and the strength of our portfolio. It has been our widely publicised strategy to regularly review market conditions and to access the bond markets when circumstances are appropriate. We understand that not many issuers are granted the opportunity to borrow money for this long, particularly at the cost of funding that we have secured. It is testament to the strength of our financial position that we have seen such strong demand for this bond and are grateful to the many institutions who intend to entrust us with their money."

The content of this announcement has not been approved by an authorised person within the meaning of the Prospectus Directive.

This announcement is addressed to specific individuals who the Wellcome Trust, on reasonable grounds, believes are:

(a) individuals having professional experience in matters relating to investments, being investment professionals;(b) high net worth entities; and(c)other persons to whom it can lawfully be communicated.

For these reasons, this announcement is exempt from any general restriction on the communication of invitations or inducements to engage in investment activity. The activity to which this announcement relates is only available to, and will only be engaged in with, the relevant persons to whom it has been addressed.

This announcement is not a Prospectus for the purposes of EU Directive 2003/71/EC (the "Prospectus Directive") and/or Part 6 of the Financial Services and Markets Act 2000. A final form Prospectus will be prepared and made available in accordance with the Prospectus Directive. Investors should not subscribe for the Bonds referred to in this announcement other than on the basis of information contained in the final form Prospectus. The final form Prospectus, when published, will be available on the websites of the Central Bank of Ireland and the Irish Stock Exchange.

THE BONDS HAVE NOT BEEN AND WILL NOT BE REGISTERED UNDER THE SECURITIES ACT OF 1933, AS AMENDED (THE “SECURITIES ACT”) AND MAY NOT BE OFFERED, SOLD OR DELIVERED IN THE UNITED STATES OR TO U.S. PERSONS UNLESS THE BONDS ARE REGISTERED UNDER THE SECURITIES ACT OR AN EXEMPTION FROM THE REGISTRATION REQUIREMENTS OF THE SECURITIES ACT IS AVAILABLE.