Activist Saba launches board and management coup at seven London-listed investment trusts An activist investor is hoping to seize control of seven underperforming London-listed investment trusts after urging shareholders on Wednesday to sack their respective boards.
Boaz Weinstein, founder and chief investment officer at Saba Capital, told the shareholders of each trust that their current investment manager and board's 'inability to mind the gap between each Trust's trading price and NAV has destroyed significant value for shareholders'.
Saba Capital published an open letter to shareholders of the seven trusts, calling for them to vote to sack entire boards and replace them with 'new, highly qualified candidates' – including the hedge fund's own executives.
The trusts affected are Baillie Gifford US Growth, CQS Natural Resources Growth & Income, Edinburgh Worldwide, European Smaller Companies, Henderson Opportunities, Herald Investment Trust and Keystone Positive Change.
'Without such buyer demand or the prospect of active steps being taken to improve returns to shareholders, there is a risk of the trusts' share prices falling and discounts widening again if we are unsuccessful in our pursuit to reconstitute the Boards of the seven Trust,' he added.
