TerrAscend Renews $10 Million Share Buyback, Citing Discounted Valuation

By Nicolás Rodríguez, Managing Editor

TerrAscend Corp. (TSX: TSND; OTCQX: TSNDF) is renewing its share repurchase program, authorizing up to $10 million in common-stock buybacks over the next 12 months as management argues the cannabis operator’s current valuation does not reflect the strength of its business.

The program allows TerrAscend to repurchase as many as 10 million common shares between Aug. 24, 2026 and Aug. 23, 2027. Based on the 309.2 million common shares outstanding as of Aug. 13, the maximum represents 3.23% of the company’s outstanding common shares.

That makes the authorization meaningful, although not large enough on its own to dramatically reshape TerrAscend’s share count. Executive Chairman Jason Wild directly and indirectly controls roughly 27% of the common shares; measured against the remaining common-share base outside that position, 10 million shares would represent roughly 4.4%. The actual impact will depend on how much of the authorization TerrAscend ultimately uses.

“We believe TerrAscend’s shares are trading at a substantial discount to their intrinsic value, particularly given the strength of our business, our consistent operating and free cash flow generation and the significant catalysts emerging across the U.S. cannabis industry,” Wild said.

The company enters the new program after reporting $42 million in cash at the end of its second quarter, along with $7.4 million in operating cash flow and $5.7 million in free cash flow. TerrAscend has now generated positive operating cash flow from continuing operations for 16 consecutive quarters and positive free cash flow for 12 consecutive quarters.

Importantly, the $10 million authorization should not be read as a commitment to spend $10 million. Under the previous program, which also authorized up to 10 million shares, TerrAscend ultimately repurchased 653,500 shares for approximately US$417,000, at a volume-weighted average price of $0.64 per share.

Management said it will not incur debt to finance the new program and can suspend purchases if it identifies better uses for its cash.

That gives TerrAscend flexibility rather than an obligation: buy shares when management believes the valuation warrants it, while preserving capital for operations, expansion, or other strategic opportunities.