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Activist investor opposes Consolidated-Tomoka's share-issuance proposal

Consolidated-Tomoka Land Co. stockholder WintergreenAdvisers LLC intends to oppose the company's proposed common share issuancewhile supporting a proposal to engage an independent adviser to explore ways toboost shareholder value.

The firm said in an April 7 statement that the proposedshare issuance is "destructive" to the interests of stockholders, asit could dilute their equity by more than 23%. The company should insteadpursue other tax-efficient transactions, including , Wintergreen noted inan April 7 filing.

Meanwhile, Wintergreen argued that the company's"extremely undervalued" stock presents opportunities to unlock"substantial" value for shareholders. The firm said it believeshiring an independent adviser could help expedite the process and lauded thecompany's move to engage Deutsche Bank Securities Inc. to advise on itsexploration of strategic alternatives.

Other board-backed proposals opposed by Wintergreen arethose relating to director re-elections, the ratification of Grant ThorntonLLP's appointment as auditor and the advisory vote to approve executivecompensation.

Wintergreen beneficially owns 1,543,075 shares, or 26.1%, ofConsolidated-Tomoka Land's common stock, according to a filing.