LONDON - Saba Capital Management, L.P., a global alternative asset management firm, has initiated a campaign to replace the directors of seven UK investment trusts. The firm has requisitioned general meetings of shareholders for Baillie Gifford US Growth Trust PLC (USA:LSE), CQS Natural Resources Growth & Income PLC (CYN:LSE), Edinburgh Worldwide Investment Trust PLC (EWI:LSE), European Smaller Companies Trust PLC (ESCT:LSE), Henderson Opportunities Trust PLC (HOT:LSE), Herald Investment Trust PLC (HRI:LSE), and Keystone Positive Change Investment Trust PLC (KPC:LSE).
The move by Saba Capital aims to provide shareholders of these trusts the opportunity to vote on resolutions that would remove the trusts' existing directors and appoint new ones. The firm, founded in 2009 and known for credit relative value strategies and capital structure arbitrage, believes this action could deliver value to shareholders.
Saba Capital has released an open letter to shareholders, detailing its position and encouraging them to support the proposed changes. The letter is part of a broader communication strategy that includes a dedicated website for the campaign.
The firm, which has offices in New York City and London, has not released specific details regarding the reasons behind the proposed director changes or the identities of the proposed new directors. It has also refrained from making any investment recommendations or suggesting an investment strategy through this announcement.
The announcement is based on a press release statement and does not constitute investment advice. It is intended to inform shareholders and does not provide any inducement or offer to purchase or sell securities. Saba Capital has stated that it may continue to transact in the shares and securities of the trusts and may increase or decrease its interests at any time.
White & Case LLP is serving as the legal adviser to Saba Capital Management in this matter. The firm has stressed that the information provided should not be the sole basis for any investment decisions and that potential investors should consult authorized financial advisers. The announcement is subject to the laws and regulations of the relevant jurisdictions and is not for release where it would constitute a violation of those laws.
This news report is based on a press release statement and has been prepared solely for informational purposes.
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