Weinstein’s Saba Argues Against BlackRock Hold on Fund Board (1)

Saba Capital Management asked a federal judge to block BlackRock Inc. from using a bylaw that Boaz Weinstein’s firm says is keeping it from having a voice in a closed-end fund despite acquiring a substantial stake.

At a Wednesday court hearing, Saba argued that BlackRock is using the bylaw to keep un-elected trustees at its ESG Capital Allocation Trust in place indefinitely, skirting a federal law requiring at least two-thirds of a fund board to be elected by shareholders. Saba acquired a stake in the $1.9 billion fund in 2022, but says the entire board was appointed by BlackRock. ...