Irvine, Calif.-based Terra Tech (OTC:TRTC) announced today that it was repurchasing up to $20 million common stock. This was in addition to the previously announced purchase of shares in connection with the settlement of litigation with members of the Vande Vrede family.
TRTC expects to receive $36 million upon the closing of previously announced asset sales.
CEO Derek Peterson stands by the board’s decision to repurchase, "(It’s) the best way we can return value to shareholders. We have several growth initiatives in the pipeline and are engaged in a fundamental restructuring to improve profitability and build value for our shareholders. The share repurchase program is supported by our continued focus on building a stronger, more efficient business based around premium quality, recognizable brands."
Terra Tech Corp. operates through multiple subsidiary businesses including Edible Garden, and MediFarm LLC. Some of the retail and medical cannabis facilities under the company’s umbrella provide the highest quality medical cannabis to patients who are looking for alternative treatments for their chronic medical conditions as well as premium cannabis to the adult-use market in Nevada and California.
For sure, much of the small-cap market agreed, causing share prices to jump 6.9 cents, or 19.5%, to 41.9 cents, on volume of 1.7 million shares.