The Keystone Positive Change investment trust board has postponed a vote on plans for the trust’s future due to Saba Capital’s action to replace the trust’s directors.
Last September, the trust’s board set out proposals to fold the trust into the open-ended Baillie Gifford Positive Change fund following a challenging period for performance.
Shareholders were due to vote on the proposals in February. However, it has been postponed until after the outcome of Saba’s requisitioned general meeting.
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Karen Brade, chair of Keystone Positive Change, said due to the size of Saba’s holding in the trust, the board’s proposals for the trust’s future were guaranteed to be voted down.
The requisitioned meeting, at which shareholders will vote on replacing the current board with Saba’s nominations, will take place on 3 February.
Voting on the proposals closes at 12pm on 30 January, or as early as 23 January if invested through a platform.
Keystone has urged its shareholders to vote against Saba’s proposals.
“Unfortunately, Saba waited until 18 December to requisition a general meeting to remove your independent Board and formally inform us that it intends to vote against the scheme, which would guarantee its failure,” Brade said.
“This destructive behaviour highlights just how disingenuous Saba has been and demonstrates its desire to take control of your company.
“In light of Saba’s current voting intentions, the board has decided it is in the best interests of all shareholders to adjourn the scheme meetings to a later date.”