DEFA14A: Neuberger Berman Fund Urges Stockholders to Reject Saba Capital's Nominee

Neuberger Berman Next Generation Connectivity Fund Inc. urges stockholders to vote for the re-election of its current directors and reject the nominee proposed by Saba Capital Master Fund Ltd.

Summary

• The Board of Directors of Neuberger Berman Next Generation Connectivity Fund Inc. (NBXG) is urging stockholders to vote FOR the re-election of its current directors.
• Saba Capital Master Fund Ltd. (Saba) has submitted a nominee for election as a director.
• The Board believes Saba seeks to disrupt the Board for its own gain, potentially impairing the Fund and limiting its long-term investment potential.
• The Fund urges stockholders to vote using the WHITE proxy card and to disregard any GOLD proxy cards sent by Saba.
• The Fund has retained EQ Fund Solutions as its proxy solicitor.
• Not voting helps Saba and may negatively impact the long-term prospects of the Fund.
• Only the latest dated proxy card submission will count.

Sentiment

Score: 6

Explanation: The document conveys a defensive stance against an activist investor, indicating a potentially contentious situation. The language is firm but professional, aiming to reassure shareholders.

Positives

• The current Board has specialized expertise that contributes to the overall perspective and performance of the Board.
• The Board is focused on the best interest of ALL stockholders and dedicated to enhancing the value of your investment.

Negatives

• Saba's nominee could disrupt the experienced and reliable oversight provided by the current Board.
• Saba's actions may undermine the performance of the Board and the Fund.

Risks

• Replacing existing Directors could jeopardize the balance of skills across the entire Board.
• Not voting helps Saba and may negatively impact the long-term prospects of the Fund.

Future Outlook

The Fund plans to vigorously defend its current Board composition.

Management Comments

• The Board believes that Saba seeks to disrupt the experienced and reliable oversight provided by your Funds Board for its own gain and does not care about impairing your Fund and limiting its long-term investment potential.
• Replacing any existing Directors of your Fund could jeopardize the balance of skills across the entire Board and may undermine the performance of the Board and the Fund.

Industry Context

This announcement reflects a common scenario where activist investors (like Saba Capital) seek board representation to influence a fund's strategy, often leading to proxy contests.

Stakeholder Impact

• Shareholders are directly impacted by the outcome of the proxy vote.
• The Fund's performance and long-term investment potential could be affected by the Board's composition.

Next Steps

• Stockholders need to vote using the WHITE proxy card.
• The Fund will continue to defend its current Board composition.

Keywords

proxy vote, board of directors, Saba Capital, Neuberger Berman, NBXG, election, fund