ASA Gold and Precious Metals Limited has approved a proposal to convert from a registered closed-end investment company into a business development company operating with a yield-oriented, credit-focused strategy.

The board’s decision follows a months-long strategic review conducted by a special committee. Under the proposed transaction, the company will redomicile from Bermuda to Delaware, adopt a U.S.-domiciled structure for operational and tax efficiency, and shift its U.S. federal income tax status from a passive foreign investment company to a regulated investment company.

As part of the structural realignment, the company selected Saba Capital Management, L.P. to serve as the investment manager for the business development company. Saba previously accumulated an ownership position representing approximately 17.18% of the company's common shares and pursued efforts regarding the board and strategic direction. In June 2026, the company appointed Paul Kazarian as President and Principal Executive Officer and established an internal investment committee to manage the portfolio during its evaluation of external management arrangements.

The transition involves moving away from the company's historical operating model. The fund previously maintained a fundamental policy requiring at least 80% of its total assets to be invested in precious metals and minerals. The current proposal involves eliminating this gold-focused policy to enable a transition into a credit-focused platform with a broader investment opportunity set and greater emphasis on income generation.

The conversion is subject to shareholder approval of a new investment advisory agreement with Saba and the elimination of the fundamental gold-focused investment policy. Shareholders will vote on the conversion proposals at the 2026 Annual General Meeting. If the proposals are approved and all applicable conditions are met, the conversion is expected to occur by year-end.

Read the full announcement: ASA Gold and Precious Metals Limited Announces Board Approval of Proposed Conversion to Business Development Company