SCHEDULE: Saba Capital Amends Blackrock California Municipal Income Trust Stake, Discloses Recent Share Sales

Saba Capital Management, L.P. and its affiliates have filed an Amendment No. 11 to their Schedule 13D, disclosing a 15.15% beneficial ownership in Blackrock California Municipal Income Trust and detailing recent share sales.

Summary

• Saba Capital Management, L.P., Saba Capital Management GP, LLC, and Boaz R. Weinstein (collectively, the "Reporting Persons") jointly filed Amendment No. 11 to their Schedule 13D.
• The filing pertains to their beneficial ownership of Common Shares, $0.001 par value, in Blackrock California Municipal Income Trust.
• The Reporting Persons collectively beneficially own 4,554,826 Common Shares, representing 15.15% of the outstanding class.
• This percentage is calculated based on 30,063,645 shares of common stock outstanding as of May 19, 2025, as disclosed in the company's DEF 14A filed on May 22, 2025.
• Approximately $49,860,219 was paid to acquire the Common Shares reported.
• Funds for the share purchases were derived from subscription proceeds from investors, capital appreciation, and margin account borrowings.
• Saba Capital effected several open market sales of Common Shares between June 26, 2025, and July 14, 2025, totaling 243,103 shares.
• Specific sales include: 35,213 shares at $10.83 on 6/26/2025; 31,062 shares at $10.80 on 6/27/2025; 43,937 shares at $10.80 on 6/30/2025; 33,982 shares at $10.85 on 7/2/2025; 3,054 shares at $10.87 on 7/7/2025; 25,849 shares at $10.83 on 7/9/2025; 14,116 shares at $10.86 on 7/10/2025; 14,505 shares at $10.78 on 7/11/2025; and 46,385 shares at $10.83 on 7/14/2025.

Sentiment

Score: 4

Explanation: The document is primarily a factual disclosure of beneficial ownership and recent trading activity. The disclosed sales by a significant holder could be perceived as a slightly negative signal, though the overall stake remains substantial.

Negatives

• Saba Capital Management, L.P. engaged in multiple open market sales of Blackrock California Municipal Income Trust Common Shares between June 26, 2025, and July 14, 2025, reducing their overall position by 243,103 shares.

Risks

• The Reporting Persons utilized margin account borrowings for the purchase of Common Shares, which implies that the positions held in these accounts are pledged as collateral security for the repayment of debit balances, introducing leverage risk for the Reporting Persons.

Future Outlook

The document does not provide any forward-looking statements or guidance regarding the future performance or strategic direction of Blackrock California Municipal Income Trust.

Industry Context

This filing reflects a significant ownership stake and recent trading activity by an activist investment manager, Saba Capital, in a closed-end municipal income fund. Such disclosures are common in the closed-end fund space, where activist investors often seek to influence governance or capital structure to narrow discounts to net asset value.

Legal Proceedings

• The Reporting Persons have not been convicted in a criminal proceeding (excluding traffic violations or similar misdemeanors) during the last five years.
• The Reporting Persons have not been a party to a civil proceeding of a judicial or administrative body of competent jurisdiction that resulted in a judgment, decree, or final order enjoining future violations of, or prohibiting or mandating activities subject to, Federal or State securities laws, or finding any violation with respect to such laws, during the last five years.

Stakeholder Impact

• Shareholders of Blackrock California Municipal Income Trust may view the recent sales by a significant institutional investor like Saba Capital as a signal regarding the fund's valuation or future prospects, potentially influencing trading behavior.

Key Dates

Keywords

Blackrock California Municipal Income Trust, Saba Capital Management, Schedule 13D/A, Beneficial Ownership, Common Shares, SEC Filing, Investment Management, Share Sales, Closed-End Fund, Municipal Income