IRVINE, Calif.--(BUSINESS WIRE)--Terra Tech Corp (OTCBB: TRTC), a leader in sustainable agricultural products, is pleased to announce it has completed its acquisition of Edible Garden and its line of locally grown hydroponic produce, which is distributed throughout the northeast.
Edible Garden a premier local brand of sustainably grown produce has rapidly expanded its product availability from just over 100 retail stores to covering close to 400 retailers throughout New Jersey, Connecticut, Delaware, Maryland, New York and Pennsylvania in less than a year. This rapid expansion has been due to consumers demanding fresher produce grown locally using environmentally sustainable methods.
“Edible Garden is fast becoming one of the leading brands in their market,” said Derek Peterson CEO of Terra Tech. “We feel we have an opportunity to replicate the success they created in the northeast throughout the rest of the country. We are in active discussions with other urban farmers throughout the US to cultivate sustainably under Edible Gardens’ standards. We are in the beginning stages of creating a national brand comprised of local farmers. We are looking forward to showing our fiscal growth to shareholders beginning in Q2.”
The cost of acquisition was 1,250,000 shares of common stock. One of Terra Tech’s directors Amy Almsteier will be surrendering 500,000 shares of common stock back to the company to help offset the acquisition cost. During due diligence Terra Tech discovered some change of ownership covenants that existed within GroRites and NB Plants credit facilities that required the companies to refinance. The cost associated with refinancing proved too significant for the company and shareholders to absorb at the present time. Management made the decision to absorb Edible Garden, the biggest growth company, from the Vande Vrede’s while structuring the acquisition to benefit from the current revenue base of both GroRite as well as NB Plants through distribution contracts, which Terra Tech is currently being negotiated.
“The new structure is far less dilutive to shareholders yet we have the benefit of the current business as well as the upside of our regional and national expansion,” said Ken Vande Vrede COO of Terra Tech. “As far as we know Terra Tech is the only public company focused on urban agriculture, and we feel with a ballooning population as well as shrinking arable land, urban Ag is going to be a necessity to feed our populations.”
The company has recently begun its regional expansion plan by purchasing and planning the construction of an additional 5 acres of greenhouse on the Belvidere property. This facility will be solely dedicated to producing the full line of Edible Garden products for sale throughout their local market. At full capacity and at current prices this facility can produce close to $10 million in sales annually for Terra Tech. The company anticipates having this facility completed by year end.
About Terra Tech
Through its wholly-owned subsidiary GrowOp Technology, Terra Tech Corp. specializes in controlled environment agricultural technologies. The company integrates best-of-breed hydroponic equipment with proprietary software and hardware to provide sustainable solutions for indoor agriculture enterprises and home practitioners. We work closely with expert horticulturists, engineers, and plant scientists to develop and manufacture advanced proprietary products for the fast-growing urban agricultural industry as well as individual hobbyists. Large companies, small urban farmers, home enthusiasts, and traditional greenhouse growers utilize our products. Our complete product line is available at specialty retailers throughout the United States, and via our website. Terra Tech Corp. was incorporated in July 2008 in the State of Nevada; its subsidiary GrowOp Technology was founded March 2010, in Oakland, California.
Statements in this press release may be “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. Words such as “anticipate”, “believe”, “estimate”, “expect”, “intend” and similar expressions, as they relate to the company or its management, identify forward-looking statements. These statements are based on current expectations, estimates and projections about the company's business based, in part, on assumptions made by management. These statements are not guarantees of future performance and involve risks, uncertainties and assumptions that are difficult to predict. Therefore, actual outcomes and results may, and probably will, differ materially from what is expressed or forecasted in such forward-looking statements due to numerous factors, including those described above and those risks discussed from time to time in Terra Tech Corp.’s filings with the Securities and Exchange Commission. In addition, such statements could be affected by risks and uncertainties related to Terra Tech Corp.’s (i) product demand, market and customer acceptance of its equipment and other goods, (ii) ability to obtain financing to expand its operations, (iii) ability to attract qualified sales representatives, (iv) competition, pricing and development difficulties, (v) ability to integrate GrowOp Technology Ltd. into its operations as a reporting issuer with the Securities and Exchange Commission, and (iv) general industry and market conditions and growth rates and general economic conditions. Any forward-looking statements speak only as of the date on which they are made, and the company does not undertake any obligation to update any forward-looking statement to reflect events or circumstances after the date of this release. Information on Terra Tech Corp.’s website does not constitute a part of this release.