Business · Markets · 5 hrs ago
Saba seeks three board seats at Baillie Gifford US Growth Trust
Saba Capital, a New York hedge fund, has built a nearly 30% stake in Baillie Gifford US Growth Trust, a UK investment company that invests in high-growth US businesses.
It wants shareholders to elect three of its nominees to the trust’s board at next week’s annual meeting.
Existing shareholders have rejected Saba’s efforts twice in the past 18 months.
The trust has delivered an annualised return of 16.7% since its launch in 2018, beating the S&P 500 over that period, though its performance has had ups and downs.
Saba says its nominees would urge the board to offer all shareholders a cash exit at or near the value of the trust’s assets.
The trust says it already offered Saba a chance to exit at a price close to that value, but Saba declined.
Saba has not set out a detailed plan for the trust’s future, and shareholders will vote on its nominees at the annual meeting.
Saba Capital is seeking to install three nominees on the board of Baillie Gifford US Growth Trust.
The hedge fund holds a stake of nearly 30% and the proposal is due to be voted on at the trust’s annual meeting next week.
Saba says its nominees would urge the trust to offer shareholders a cash exit at or near net asset value.
The Guardian columnist says Saba has not set out a credible plan for the trust’s future.
The trust has returned 16.7% annually since its 2018 launch, according to the article.
- Who
- Saba Capital is seeking three board seats at Baillie Gifford US Growth Trust.
- What
- It wants shareholders to elect three of its nominees. Saba says they would urge a cash exit offer at or near net asset value.
- When
- The vote is due at the trust’s annual meeting next week. The article was published on 12 October 2026.
- Where
- Baillie Gifford US Growth Trust, a UK investment trust focused on high-growth US companies.
- Why
- Saba says a cash exit at or near net asset value would provide shareholders with a liquidity event. The article says Saba has not set out a detailed plan for the trust’s future.
Saba Capital
Guardian columnist Nils Pratley
Board representation and shareholder exit
Saba Capital
Saba says its nominees would urge the trust to offer shareholders a 100% cash exit at or near net asset value.
Guardian columnist Nils Pratley
Pratley argues that Saba has not provided a credible plan and that shareholders should reject its nominees.
Trust’s future
Saba Capital
Saba presents a cash exit as a long-overdue liquidity event.
Guardian columnist Nils Pratley
Pratley warns that Saba’s nominees could seek to appoint Saba as manager or move the trust into a Saba-managed vehicle.
If our nominees are elected, we would urge them to offer all USA shareholders a 100% cash exit at or near NAV [net asset value] – providing a long-overdue liquidity event.
Saba offers no credible plan. Shareholders are being asked to give its nominees potential board control on the strength of a conditional, non-binding liquidity proposal, with no roadmap for the future manager, strategy or governance: vote first, then find out later what you’ve voted for.
Regular shareholders in the trust have rejected Saba twice, according to the article.
Shareholders are due to vote on Saba’s nominees at the trust’s annual meeting.
- Saba’s stake
- Nearly 30% of the trust
- Board seats sought
- 3
- Trust’s annualised return
- 16.7% since its 2018 launch
- Trust’s discount to asset value
- 3%
Sources
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