By: Elliot Gulliver-Needham, Investment Reporter, CityAM, 22 January 2025:
A host of Blackrock-run investment trusts have made a peace deal with US hedge fund Saba Capital, amid its activist campaign to take over the boards of several UK trusts.
In a series of stock exchange announcements, the Blackrock trusts said that they had made an agreement with Saba to be left alone by the activist investor until 2027.
Specifically, Saba had pledged to not put forward any resolutions to the trusts, change the boards of the trusts, try to influence the boards, and not engage in short selling or takeover attempts..
“Given the emphatic response push back from the industry against Saba’s proposals and the number of stakes in investment companies Saba has already amassed, it will probably be quite busy until 2027 if it decides to continue with its proposed asset grab,” said QuotedData analyst Matthew Read.
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