Saba Capital Wins Shareholder Backing Against EWI Board’s Tender Offer
Event summary
- Saba Capital, the largest shareholder of Edinburgh Worldwide Investment Trust PLC (EWI), celebrated shareholders' rejection of EWI's proposed tender offer on April 10, 2026.
- The rejected proposal would have forced shareholders into untradeable SpaceX tracker shares with potential tax liabilities.
- Saba criticized the EWI Board for poor performance and governance, highlighting a £86 million loss from Baillie Gifford's sale of 35.4% of EWI’s SpaceX investment in October 2025.
- Saba proposed its Enhanced Liquidity Proposal as an alternative and urged shareholders to vote for its three independent nominees at the upcoming AGM on April 30, 2026.
The big picture
Saba Capital's victory against EWI's board highlights a broader trend of activist investors challenging underperforming asset managers. The dispute centers around the management of EWI’s significant SpaceX investment, valued at $1.75 trillion ahead of its IPO. Saba’s push for greater liquidity and tax efficiency reflects growing shareholder demands for transparency and strategic alignment in private investment trusts.
What we're watching
- Governance Dynamics
- Whether Saba’s nominees can gain control of the EWI board and implement their Enhanced Liquidity Proposal.
- Execution Risk
- How effectively Saba can manage the SpaceX position through to IPO, given its criticism of Baillie Gifford's past decisions.
- Shareholder Sentiment
- The level of support Saba’s nominees receive at the upcoming AGM and whether it leads to further governance changes.