Edinburgh Worldwide defeats Saba for a second time after file investor turnout

Edinburgh Worldwide Investment Trust (EWIT) has won its second battle against the American hedge fund Saba.

In a meeting today, investors voted against Saba’s plans to take control of the trust by removing all six directors and replacing them with three of its own nominees.

Saba’s proposals only needed a simple majority, or more than 50 per cent of votes cast, to pass at the meeting.

Of the total votes cast – which represented a record 70 per cent of shareholders – 53.2 per cent voted against Saba’s resolutions. 

Excluding shares held by Saba, which owns approximately 30 per cent of EWIT, 92.7 per cent of the shares voted rejected the proposals. 

Jonathan Simpson-Dent, chair of EWIT said: ‘For the second time in less than a year, Edinburgh Worldwide’s shareholders have voted decisively to reject Saba’s proposal to install its own nominees to the board and the uncertainty that would have entailed. 

‘Saba remains our largest shareholder and we will continue to seek constructive engagement with them to develop potential solutions that allow us to move forward.’

Rejected: EWIT investors defeated Saba boss Boaz Weinstein’s proposals to replace the board

It is the second attempt by Boaz Weinstein, who runs the fund, to unseat the board after a previous bid last February was defeated.

Weinstein has accused EWIT’s board of directors of not taking ‘decisive action’ to improve returns.

In recent months, the activist investor has taken issue with the trust selling its stake in SpaceX ‘far below’ the current value was ‘self-evidently unacceptable’ and done ‘without consulting shareholders.’

In a war of words, EWIT said Weinstein’s open letter contained ‘numerous inaccurate statements’ designed to ‘mislead shareholders’ as part of an ‘aggressive campaign’.

Saba has sparked upheaval across the investment company industry, targeting several funds trading at massive discounts to net asset value.

James Carthew, head of investment companies, QuotedData said: ‘So, a record turnout and almost everyone bar Saba rejecting its proposals. 

‘Surely the message must get through to Saba that investors don’t want it in charge; not of EWI, nor Herald, nor Impax Environmental Markets, nor any other trust for that matter. 

‘If it wants to run a trust it must IPO one. 

‘Time for it to admit defeat and accept the generous exit terms that Herald and Impax Environmental have put on the table.’

Richard Stone, Chief Executive of the Association of Investment Companies (AIC), added: ‘This second win for Edinburgh Worldwide against Saba Capital shows how much ordinary investors value their investment trust. 

‘Shareholders turned out in force to reject the replacement of the independent board with three new directors nominated by Saba.

‘Across the investment trust industry, independent boards continue to work hard to deliver for their shareholders. 

‘Last year we saw a record number of deals, share buybacks and fee changes and corporate activity is continuing at pace in 2026.’

Saba has been contacted for comment.