Edinburgh Worldwide proposes offer to beat Saba – Daily Business

Jonathan Simpson-Dent chairs the trust (pic: Terry Murden / DB Media Services)

The board of Edinburgh Worldwide Investment Trust intends giving its shareholders an exit plan as part of its defence against constant attacks from a New York hedge fund.

It is proposing a tender offer for up to 100% of its share capital as the board says it has “exhausted every reasonable and equitable solution with Saba”.

It adds that Saba’s “continued campaign leaves it with no alternative but to propose a Tender Offer to enable eligible shareholders to elect for a significant return of capital.

The offer would enable shareholders to retain potential upside from Elon Musk’ SpaceX.

“This is a key differentiator to Saba’s recent proposal, which would force shareholders to either give up SpaceX or become trapped in a Saba-controlled vehicle,” it says.

Shareholders are urged to support the Tender Offer “to secure a definitive and fair exit opportunity and bring closure to the uncertainty caused by Saba”.

The Tender Offer requires approval from a simple majority of votes cast (50%) and can therefore proceed independent of Saba’s support. A circular detailing the proposal for the Tender Offer will be published in due course.

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