(Credit: Timon - stock.adobe.com)

In a tightly contested vote, 53.2% of cast votes supported retaining the current directors, while 46.8% opposed them. Saba’s proposal had aimed to remove the incumbent board and install three of its own nominees.

Shareholder turnout was significant, representing over 70% of the trust’s shares, a notable increase from the 64.7% participation seen at the previous requisitioned meeting in February. The margin was tighter on this occasion largely because Saba has increased its stake in the interim. Despite the close headline figure, independent support remained robust; excluding Saba’s holding, a decisive 92.7% of shareholders voted to keep the board in place.

Jonathan Simpson-Dent, EWIT’s chair, welcomed the result as a rejection of the uncertainty a Saba takeover would entail.

He said: “For the second time in less than a year, Edinburgh Worldwide’s shareholders have voted decisively to reject Saba’s proposal to install its own nominees to the board and the uncertainty that would have entailed.

“Shareholders have clearly stated their preference for EWIT’s unique and differentiated mandate, investing in some of the world’s most exciting and transformative companies.”

Market commentators, such as James Carthew of QuotedData, echoed this sentiment, suggesting Saba should realise that general investors do not wish for the activist to take control.

Saba remains a significant issue for the sector, holding stakes approaching 30% in trusts such as Baillie Gifford US Growth and Herald Investment Trust. While vehicles like Herald and Impax Environmental Markets have attempted to neutralise this pressure through tender offers of up to 100%, the Baillie Gifford trusts face restrictions on such defensive measures. Their significant exposure to illiquid unlisted companies, most notably SpaceX, limits their ability to offer the substantial capital returns required to buy out dissenting shareholders.