Terra Tech Corp.: Issues Corporate Update on GroRite and NB Plants Merger
Terra Tech recently announced signing LOI's to acquire two companies, GroRite Garden Center and NB plants/ Edible Garden brand. Upon a successful merger these two acquisitions will push annual revenue for Terra Tech to over $10 million.
The company is currently working towards definitive documents to close the transaction and determined it was important to make investors aware of the progress and details. To date Terra Tech has finished negotiating terms with both entities and attorneys on both sides are finishing the drafting of the final documents. All parties are in full agreement and ready to sign, counsel needs additional time to structure the documents.
GroRite will be purchased for 2% of the issued and outstanding shares and the purchase price for NB Plants will be 2.9%. Terra Tech will have to issue roughly 4 Million additional shares to the Vande Vrede's to close the merger. As stated previously, certain shareholders and directors have agreed to expire shares to help minimize dilution to current shareholders. To date the company will be able to expire a minimum of 3 million shares at the time of closing.
Yesterday the company announced the appointment of Ken Vande Vrede to Terra Tech's board of directors. In addition to Ken, Mike Vande Vrede and Steve Vande Vrede will be appointed upon closing the merger to give them equal say and control over the direction of the company. In addition to board positions, Mike and Steve will function as key officers, operating both GroRite and NB Plants divisions.
"We are excited about the progress we have made, these mergers grow the company significantly while almost eliminating the dilution to current shareholders," explains Derek Peterson, CEO of Terra Tech. "Once merged our goal is to rapidly expand the Edible Garden brand throughout the country by partnering with other local hydroponic farmers to cultivate an environmentally superior, safer and more nutritious product for consumers."
The company is focused on closing these transactions quickly and launching their expansion plans for both entities. NB Plants is currently expanding their footprint into major retailers throughout the US by focusing on strategic relationships in Florida, a $1.7 billion market as well as the Midwest. In addition they intend on increasing the penetration they currently have with Shoprite, Food Emporium and the other 12,000 major grocery chains in the North East market. Additional signed contracts for new products will put the Edible Garden brand in over 280 retailers throughout New Jersey, New York, Connecticut, Delaware, Maryland, and Pennsylvania by the end of spring.
Terra Tech recently placed a deposit on 5 acres of greenhouse structure to be erected at NB Plants in New Jersey. As phase one, NB Plants plans to construct 1.5 acres immediately to fulfill the demand of a new contract for close to $1 Million in additional product sales. The construction of the additional 3.5 acres is planned over the following 24 months. Each acre of greenhouse has the ability to produce close to $2 million of produce annually.
"We are looking forward to closing this deal in short order and excited about the opportunity to begin work on our expansion plans," claims Ken Vande Vrede, CEO of GroRite Garden Centers. "Our family made the decision to move our company to the public markets and Terra Tech was a perfect fit. It was important for us to maintain control and continue to operate as a family business in the same manner we have over the last several decades."
For more information about Terra Tech Corp visit: www.terratechcorp.com
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For more information about GroRite Visit: http://www.grorite.com
Visit GroRite on Facebook @ http://www.facebook.com/groritegc
For more information about NB Plants/ Edible Garden visit: http://www.eatherbs.com
About Edible Gardens:
The Edible Garden brand provides fresh, locally grown herbs and leafy greens to major supermarket chains and restaurants. Their process utilizes time tested, classic Dutch hydroponic farming methods to grow vegetables in a safe, healthy, 100% natural environment, free of contaminants and pesticides. We maximize the use of the latest technology, to exceed competitors' products often imported from outside the U.S. and Edible Garden exclusively grows, packs and ships their own products, allowing them to monitor and guarantee the safety, quality, and freshness of our produce from seed to delivery.
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.
FOR MORE INFORMATION:
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 (vi) 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.
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