SpaceX Sale Sparks Fierce Fight Over Edinburgh Trust

Investment trust Edinburgh Worldwide is embroiled in a public dispute with US hedge fund Saba Capital, which holds a significant 30% stake. Saba Capital is attempting to gain control of the trust by proposing to replace its current board with its own nominees at a shareholder meeting scheduled for January 20. This is Saba's second attempt, following a previous defeat in February. Edinburgh Worldwide accuses Saba of misleading shareholders and acting aggressively to seize control.

The core of the conflict centers on Edinburgh Worldwide's recent decision to sell down its stake in Elon Musk's SpaceX. Saba Capital's chief, Boaz Weinstein, has heavily criticized this sale, describing SpaceX as the 'crown jewel' and asserting it was sold at a price 'far below' its current value without shareholder consultation. Edinburgh Worldwide refutes these claims, stating Saba's allegations contain inaccurate information.

Edinburgh Worldwide's defense has received crucial backing from Legal & General and shareholder advisory group ISS, both recommending a vote against Saba's proposals. The trust plans to address investor questions directly in a session tomorrow afternoon, aiming to counter Saba's campaign and secure continued shareholder confidence in its growth strategy.