Boaz Weinstein’s Saba Capital has sold its entire stake in Keystone Positive Change (KPC), marking the US hedge fund’s formal exit from its activist campaign targeting the Baillie Gifford-managed UK investment trust, according to a report by Reuters.

A regulatory filing released Tuesday confirmed that as of 28 March, Saba’s voting rights in KPC had fallen to zero, down from 29.65%. The filing did not disclose the terms of the divestment.

Saba, known for its activist strategies across closed-end funds, had been one of the most vocal critics of KPC’s performance, citing “disastrous” returns and pushing for board changes as part of a broader campaign involving seven UK-listed investment trusts. In December 2023, Saba moved to replace directors across the targeted trusts, but was rebuffed by six, including KPC, which labelled the activist push “opportunistic.”

KPC, however, had already been in the process of winding down operations following a prolonged period of underperformance. In February, the board proposed a managed wind-up, offering shareholders the option to redeem their holdings in cash or roll into an alternative Baillie Gifford-managed vehicle. The liquidation was approved shortly thereafter, effectively neutralising Saba’s activist ambitions for the trust.