- Tejon Ranch Co. (TRC, Financial) urges shareholders to vote "FOR" its 10 director nominees on the WHITE proxy card at its May 13, 2025, Annual Meeting.
- The Tejon Ranch Commerce Center (TRCC) has generated over $110 million in cumulative cash flow from commercial and industrial developments.
- Tejon emphasizes its successful long-term strategy against Bulldog Investors' short-term focus, warning it could derail years of progress.
Tejon Ranch Co. (TRC) is actively encouraging its shareholders to support the company's 10 board nominees by voting "FOR" them on the WHITE proxy card during the upcoming Annual Meeting scheduled for May 13, 2025. The company is opposing nominees proposed by activist investor Bulldog Investors, emphasizing the need to safeguard long-term value creation against their short-term focused agenda.
Tejon highlights its strategic capabilities in real estate development and land use entitlements in California, showcasing the success of the Tejon Ranch Commerce Center (TRCC). TRCC has notably generated over $110 million in cumulative cash flow through its commercial and industrial developments. Over recent years, Tejon has reduced discretionary land use entitlement spending by 38% and decreased workforce by nearly 50%, all while maintaining low debt levels, underlining its commitment to financial prudence and operational efficiency.
The ongoing proxy contest with Bulldog Investors, who aim to secure about 30% of board seats, raises concerns about potential disruptions to Tejon's established long-term growth strategy. Tejon argues that Bulldog’s nominees lack the necessary experience in real estate development and specific California regulatory knowledge, risking the derailment of decades of progress in its master-planned communities (MPCs) like Mountain Village, Grapevine, and Centennial.
This strategic uncertainty brings to light the significant governance implications as Bulldog Investors can cumulate votes, potentially magnifying their influence relative to their actual ownership. This development not only threatens Tejon's future capital allocation plans but could also alter the current development timelines of its valuable land assets in Southern California, a region renowned for its challenging entitlement processes.
Tejon implores its shareholders to vote solely in favor of its nominees, emphasizing that the long-term success and sustainability of its projects, and by extension shareholder value, are at stake.