Herald Investment Trust Warns of Backstop Tender Offer Amid Saba Capital Pressure

Herald Investment Trust is attempting to negotiate a deal with activist investor Saba Capital but has warned of a full tender offer near net asset value if talks fail. The trust is seeking a mutually agreeable solution to allow shareholders a choice of outcome, but has warned that a forced exit would trigger an unwelcome tax event for long-standing shareholders. It has been aggressively raising liquidity and selling down holdings to avoid value destruction.