Tejon Ranch Co (TRC), a real estate developer and agribusiness company, said Wednesday that it has commenced its previously announced rights offering to raise up to $75 million of gross proceeds, with the distribution of one transferable subscription right for each share of the company’s common stock to investors of record on Oct. 4.
Each subscription right entitles the holder to purchase 0.20 shares of the company’s common stock at a purchase price of $18 per share. The rights offering also includes an over-allotment option that could increase the maximum gross proceeds from the transaction to approximately $90 million.
The company intends to use the net proceeds for working and general corporate purposes.
The subscription period is expected to expire on Oct. 27.