Why is Saba Capital demanding changes at Edinburgh Worldwide Investment Trust?

Saba Capital is calling for a new board due to concerns over the timing and rationale of Edinburgh Worldwide's recent sell-down of its SpaceX stake.

What is the significance of the SpaceX stake sale by Edinburgh Worldwide?

The sell-down is suspected by Saba Capital to be a move to facilitate a merger with Baillie Gifford US Growth Trust, prompting demands for transparency.

When is the crucial vote concerning Edinburgh Worldwide's merger and board?

The vote on the proposed merger and the future composition of the board is scheduled for January 20.

Home / Business and Economy / Saba Capital Demands Answers on SpaceX Stake Sale

Saba Capital Demands Answers on SpaceX Stake Sale

7 Jan

•

Summary

Saba Capital urges new board elections for Edinburgh Worldwide.
A recent 35% sell-down of SpaceX stake is questioned.
A merger vote and board changes are set for January 20.

Saba Capital Demands Answers on SpaceX Stake Sale

Saba Capital, a significant shareholder in Edinburgh Worldwide Investment Trust, is once again advocating for the election of a new, independent board. This renewed push follows concerns over a recent reduction in the trust's stake in SpaceX, which Saba Capital characterized as "suspiciously timed." The U.S. activist investor alleges that the approximately 35% sell-down in October was strategically executed to pave the way for a potential merger with the Baillie Gifford US Growth Trust.

This call for board changes is placing pressure on Edinburgh Worldwide ahead of a critical January 20 vote. Saba Capital is demanding clear and transparent explanations regarding the timing, valuation, and strategic justification for selling off a portion of the trust's SpaceX holdings. The investor group previously intervened in December, successfully blocking a merger between two other investment trusts managed by Baillie Gifford.