Investors in two more UK trusts reject activist Saba's campaign

Reuters
04 Feb
UPDATE 1-Investors in two more UK trusts reject activist Saba's campaign

Adds result of second trust vote, context throughout

LONDON, Feb 4 (Reuters) - Shareholders in two more British investment trusts dealt a further blow to Saba Capital's campaign to shake up the UK's 269 billion-pound ($334 billion) trust sector on Tuesday, after rejecting the U.S. activist's proposals.

Investors in both the Henderson Opportunities Trust HENT.L and CQS Natural Resources Growth & Income CYNL.L rejected Saba's resolutions to remove several of their board members at their respective general meetings.

Hedge fund Saba - run by prominent investor Boaz Weinstein - is attempting to overhaul seven UK trusts over performances it has said ranged from "underwhelming" to "disastrous".

Weinstein previously told Reuters he was prepared for the long haul and has vowed to merge unpopular trusts, buy back shares, and invest in more private assets.

The proposals were rejected on Tuesday by 65% of votes cast at the Henderson trust, and by 59% of votes cast at CQS. Both trusts said that around 99% of non-Saba shareholders rejected the resolutions.

They join investors in fellow trusts Baillie Gifford US Growth USAB.L, Keystone Positive Change KPCK.L and Henderson Investment Trust HRI.L in blocking Saba's proposals.

Saba was not immediately available for comment.

The trusts have publicly hit back at Saba in recent weeks, dubbing its campaign opportunistic and self-serving.

($1 = 0.8044 pounds)

(Reporting by Iain Withers, editing by Sinead Cruise and Sharon Singleton)

((Iain.Withers@thomsonreuters.com;))

Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.

Most Discussed

  1. 1
     
     
     
     
  2. 2
     
     
     
     
  3. 3
     
     
     
     
  4. 4
     
     
     
     
  5. 5
     
     
     
     
  6. 6
     
     
     
     
  7. 7
     
     
     
     
  8. 8
     
     
     
     
  9. 9
     
     
     
     
  10. 10