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Colony Capital Confirms Receipt of Notice of Blackwells Capital’s Intent to Nominate Director Candidates
No Stockholder Action Required at this Time
The date of the 2020 Annual Meeting has not yet been scheduled.
The Colony Capital Board of Directors and management team are committed to acting in the best interests of the Company and all of its stockholders.
Under the guidance of the Board,
The Company has already made significant transformational progress in the last twelve months, including the following:
it entered into a definitive agreement to sell the entirety of its
Light Industrialsegment to Blackstone for $5.7 billion;
- it sold NorthStar Realty Europe;
it has already exceeded the previously communicated target of
$500 millionof net proceeds from the sale of non-core assets from the Company’s Other Equity & Debt segment in 2019;
it is exploring the potential internalization of
Colony Credit Real Estateto create the preeminent-internally-managed mortgage REIT with a clearly defined strategy to drive growth and profit maximization; and
- it is ahead of its plans to right size its G&A costs.
The pivot to digital should also have a significantly positive effect on the Company’s operating efficiency.
The Board and management team are confident in the Company’s compelling value transformation into digital infrastructure and real estate and believe
The Colony Capital Board recognizes the importance of having the right mix of skills, expertise and experience and is committed to continuously reviewing its capabilities and ongoing refreshment on behalf of stockholders. Colony Capital’s Board includes twelve actively engaged and highly qualified directors, eleven of whom are independent, all of whom have strong expertise in areas critical to Colony Capital’s business, including real estate and investment management. Notably, in the past three years, seven independent directors have joined the Colony Capital Board, and the Company has a clearly established and effective process for regularly evaluating prospective directors.
Our track record demonstrates that the Board and management team are open to different perspectives and, when stockholders’ suggestions are compelling and value enhancing, the Board has moved quickly to embrace and implement them. In February, the Company entered into the cooperation agreement with Blackwells, pursuant to which three qualified and experienced independent directors were appointed to the Colony Capital Board, including two directors identified by Blackwells and one director mutually agreed to by Blackwells and the Company. The two directors identified by Blackwells have been a key part of the Company’s Strategic Asset Review Committee.
There are a number of factual inaccuracies in Blackwells’ press release which we will address at a later date.
Colony Capital’s Board of Directors and its Nominating and Corporate Governance Committee will review Blackwells’ proposed director nominees in accordance with the Company’s corporate governance guidelines and principles. The Board will present its recommendation with respect to the election of directors in the Company’s proxy statement, which will be filed with the
Cautionary Statement Regarding Forward-Looking Statements
This press release may contain forward-looking statements within the meaning of the federal securities laws. Forward-looking statements relate to expectations, beliefs, projections, future plans and strategies, anticipated events or trends and similar expressions concerning matters that are not historical facts. In some cases, you can identify forward-looking statements by the use of forward-looking terminology such as “may,” “will,” “should,” “expects,” “intends,” “plans,” “anticipates,” “believes,” “estimates,” “predicts,” or “potential” or the negative of these words and phrases or similar words or phrases which are predictions of or indicate future events or trends and which do not relate solely to historical matters. You can also identify forward-looking statements by discussions of strategy, plans or intentions.
Forward-looking statements involve known and unknown risks, uncertainties, assumptions and contingencies, many of which are beyond the Company’s control, and may cause the Company’s actual results to differ significantly from those expressed in any forward-looking statement. Factors that might cause such a difference include, without limitation, the timing and manner of the Company’s strategic shift to digital infrastructure and digital real state sector, including whether such shift will result in any of the anticipated benefits, the Company’s ability to complete compelling investment opportunities in the digital sector, the Company’s ability to continue deploying capital in its sponsored Digital Colony fund, whether the Company will enter into a definitive agreement with CLNC to internalize its management and transfer the Company’s credit management business to CLNC, our ability to achieve anticipated compensation and administrative cost savings pursuant to our corporate restructuring and reorganization plan, in the timeframe expected or at all, the Company’s ability to complete a sale of its industrial portfolio, including the related management platform within the timeframe contemplated, or at all, the pace of additional asset monetizations and other risks and uncertainties detailed in our filings with the
Important Additional Information
Addo Investor Relations
Joele Frank, Wilkinson Brimmer Katcher
Andrew Siegel / Jon Keehner