Terra Tech Corp. (OTCMKTS:TRTC) Reverses After Approvals
After a hurried run up the charts in the wake of the new round of hearings in Clark County, yesterday’s session saw Terra Tech Corp. (OTCMKTS:TRTC) retreat a bit, closing 5.6% down. The ticker stopped at $0.59 per share by the closing bell, on a share volume that was heavily faded from Tuesday’s spike, at 4.4 million shares traded.
This retreat didn’t really wipe much of the impressive 31% jump that TRTC registered on Tuesday. The company’s long-term supporters finally got something to cheer about after the disappointing outcome of the previous dispensary hearings conducted by the same commission. This time special use permits for cultivation and production were being decided upon and TRTC ended up getting one of each through its subsidiary – MediFarm LLC.
Even though the stock reacted to the news as early as Tuesday afternoon, the company published an official press release late last afternoon. TRTC informed that it has secured the permit for its Las Vegas facility. The facility mentioned in the PR is 35,000 square feet large and will be both a production and a cultivation site. TRTC is also pushing for a dispensary license in the City of Las Vegas it seems but this application is in the process of being submitted.
The company made a significant move in the right direction winning the two permits. However, investors should keep in mind that this does not mean pot revenues will start rolling into TRTC‘s coffers overnight. The company still has to receive approval to run its marijuana cultivation and production facility from the state of Nevada. More information on clearance of the state licencing procedure will be available in August at the earliest. This in turn means actual revenues from cannabis crops are to be expected either in the Q3 report, if things move real fast, or in the annual report covering Q4 of this year.
Even if the majority of the entities that applied for licenses were approved this time around, unlike the dispensary hearings where slots were very limited and the better part of applicants were turned down, TRTC registered a positive development and gave shareholders a new hope for long-term success. Longs will be hoping that the ride leading up to the state licensing process doesn’t leave any big dents in the company’s share price.
