Tejon Ranch gains Kern County support against Bulldog Investors

TEJON RANCH, Calif. - Tejon Ranch Co. (NYSE: TRC), a real estate development and agribusiness firm with a market capitalization of $440 million, has garnered public backing from Kern County leaders amid a proxy battle with Bulldog Investors. According to InvestingPro data, the company maintains a strong financial position with a current ratio of 4.13, indicating robust liquidity to meet its short-term obligations. In a letter distributed today, state and local officials voiced their support for Tejon’s Board and management, highlighting the importance of the company’s Master Planned Communities for the region’s sustainable growth.

The letter, undersigned by State Senators Shannon Grove and Melissa Hurtado, Assemblymembers Stan Ellis and Dr. Jasmeet Bains, and Kern County Supervisors Chris Parlier, Jeff Flores, and Leticia Perez, emphasized Tejon’s longstanding partnership with Kern County. The company’s conservative financial approach is reflected in its moderate debt-to-equity ratio of 0.14, as reported by InvestingPro, which has awarded the company a "FAIR" overall financial health rating. Supervisor Leticia Perez, chairwoman of the Board of Supervisors, stressed that disrupting the relationship between Tejon’s leadership and the community could endanger the local economy’s stability.

Supervisor Chris Parlier pointed out Tejon’s expertise in developing large-scale communities in California’s challenging regulatory landscape. He criticized Bulldog Investors’ approach, suggesting that the investment firm views the projects as mere presentations rather than the future of the county’s residents.

The letter is part of Tejon Ranch’s ongoing efforts to fend off Bulldog Investors’ attempts to influence the company’s direction. With the 2025 Annual Meeting of Shareholders on the horizon, Tejon has filed a definitive proxy statement with the SEC, urging shareholders to read it for critical information. The statement and other relevant documents are available on the SEC’s website and Tejon Ranch’s corporate site.

Tejon Ranch, with its 270,000-acre land holding, plays a significant role in the region’s development. The company’s real estate projects, including the Tejon Ranch Commerce Center, have been cited as models for land use and environmental compliance in Kern County and beyond.

The conflict with Bulldog Investors has escalated beyond corporate governance, becoming a public policy issue for Kern County, with local leaders expressing concern that Bulldog’s proposals could undermine years of development and economic planning.

This news is based on a press release statement from Tejon Ranch Co. and reflects the current state of affairs in the ongoing proxy contest between the company and Bulldog Investors. The company’s stock, currently trading at a P/E ratio of 164.7, has shown resilience with a 5.41% return over the past year. Shareholders and interested parties are encouraged to review the company’s filings with the SEC for further details. For comprehensive financial analysis and additional insights, investors can access more than 30 key metrics and exclusive ProTips through InvestingPro’s advanced analytics platform.

In other recent news, Tejon Ranch Co. reported a 15% year-over-year total revenue growth, reaching $21.6 million, and a significant 186% increase in GAAP net income attributable to common shareholders, totaling $4.5 million. The company is actively encouraging shareholders to vote for its 10 director nominees, emphasizing their experience and the company’s strategic direction. Meanwhile, Tejon Ranch has appointed Matthew Walker as the new President and CEO, effective March 31, 2025, succeeding Gregory S. Bielli. Walker brings extensive experience from his previous role at Lowe Enterprises and is expected to lead the company into its next growth phase. The board of Tejon Ranch is urging shareholders to vote for its nominees, citing concerns about the qualifications of Bulldog Investors’ board candidates, who lack experience in real estate development. Independent advisory firms, including Egan-Jones Proxy Services and Glass Lewis & Co., have recommended voting for Tejon’s nominees. Glenbrook Capital Management, however, supports Bulldog’s nominees, criticizing Tejon’s current board for inadequate shareholder engagement. Glenbrook has also backed a shareholder proposal allowing owners of 10% of shares to call special meetings, a move supported by ISS and Glass Lewis.

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