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Edinburgh Worldwide Investment Trust PLC on Thursday warned its shareholders to ‘not be fooled’ in a response to a second call from activist investor Saba Capital Management LP to replace its board. This is in response to a requisition notice received on Wednesday from New York-based Saba, which seeks to convene a general meeting to remove EWIT’s board. It also comes after Saba derailed a proposed merger on Tuesday between Baillie Gifford US Growth Trust PLC and EWIT. Saba owns some 30% of EWIT and 29% of Baillie Gifford. The notice requests that shareholders vote on ordinary resolutions to remove the company’s six independent non-executive directors and appoint Gabi Gliksberg, Jassen Trenkow and Michael Joseph as directors of the company, EWIT said. This follows an open letter by Saba published last week, in which the company said it was ‘profoundly disappointed’ by the investment trust’s share price performance and ‘did not have faith in the current board’s ability to implement the necessary strategic changes.’ It said it would, as a result, requisition a general meeting of the company ‘to remove the entire incumbent board and, in its place, appoint a new board composed solely of qualified, independent directors who are committed to delivering long-term value for all shareholders.’ EWIT said in response to Wednesday’s requisition notice that it recommends ‘shareholders take no action and await a further announcement from the company that will be made in due course.’ EWIT’s Chair Jonathan Simpson-Dent said: ‘Saba has for a second time launched a power grab calling for the entire board to be replaced with US candidates of their own choosing. Their goal is clear - to gain control of the company to prioritise their own commercial interests.’ Simpson-Dent said the letter does not acknowledge the investment trust’s progress, adding that EWIT’s net asset value total return has been 13%, ahead of its benchmark the S&P Global Small Cap Index which was 5%. ‘Shareholders should not be fooled by this US hedge fund’s claims. This board remains fully committed to serving the best interests of all shareholders. Saba’s proposal would result in a board answerable to only one,’ Simpson-Dent said. Shares in EWIT rose marginally to 203.58 pence on Thursday morning in London. Copyright 2025 Alliance News Ltd. All Rights Reserved.
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