Further to its announcement of 4 December 2024, that it was bringing forward its continuation vote in order to provide clarity on the future of the company at the earliest opportunity (click here to see our coverage of that announcement), Schroders Capital Global Innovation (INOV) has now published a circular. A general meeting is being convened to put proposals to shareholders that will allow Schroder Unit Trusts Limited, INOV’s manager, to implement the managed wind-down. It is intended that this will be through an orderly realisation of assets over time, achieving a balance between maximising returns and returning capital in a reasonable timeframe. At the general meeting, shareholders are being asked to approve the following:

• the amendment of the existing articles in order to amend the continuation resolution to be put to shareholders at the 2025 Annual General Meeting, to a discontinuation resolution to be proposed at the general meeting (the “Revised Articles”);
• in the event the revised articles are approved by shareholders, the discontinuation resolution; and
• in the event the discontinuation resolution is passed, the amendment of the company’s existing investment objective and policy to adopt the revised investment objective and policy which will provide for the managed wind-down of the company with an orderly realisation of the company’s assets (the “Managed Wind-Down Proposal”),

INOV’s board is unanimous in recommending that shareholders vote in favour of the above proposals.

Comments from Tim Edwards, chairman of Schroders Capital Global Innovation Trust

“Following a period of Shareholder consultation, and having explored a range of options, the Board believes that it is in the best interests of all Shareholders for the Company to pursue a Managed Wind-Down strategy and seek to return capital to Shareholders over time.

“Since taking over the management of the portfolio in 2019, Schroders has stabilised the Company and repositioned the portfolio so as to seek to give Shareholders access to venture and growth companies globally. However, recognising the challenges associated with the legacy assets, alongside current market conditions, the Board has taken the decision that it is in Shareholders’ interest to pursue the Managed Wind-Down.”