(Reuters) – U.S. activist investor Boaz Weinstein’s Saba Capital has sold its nearly 30% stake in British investment trust Keystone Positive Change (KPC), a regulatory filing showed on Tuesday.
The Baillie Gifford-run investment trust is undergoing a planned liquidation under which shareholders have the option of a cash exit or the opportunity to roll over into another Baillie Gifford managed fund.
The filing on Tuesday showed that on March 28, Saba Capital management’s voting rights in KPC dropped to nil, from about 29.65%, but did not disclose any other transaction details.
KPC was one of seven targets of Saba in the UK, where it was waging a campaign to overhaul their boards over performance it labelled as “underwhelming” and “disastrous”.
In December, the U.S. hedge fund sought to overhaul the boards of the trusts but six of the seven trusts, including KPC, rejected its proposal and publicly hit back at Saba Capital, calling its efforts opportunistic and not in the interests of broader shareholders.
KPC was already in the process of winding itself down after a long bout of underperformance, and announced plans to go ahead with the liquidation after shareholders rejected Saba’s attempted efforts to gain control.
(Reporting by Yamini Kalia and Chandini Monnappa in Bengaluru; Editing by Janane Venkatraman and Susan Fenton)
