Island Park snack food firm files for $5M stock sale
Paul Adler, president of Global Diversified Marketing Group, seen on Thursday with some of the company's snack foods. Credit: Danielle Silverman
An Island Park company that scouts the world for snack foods to market in the United States has filed for a stock sale worth up to $5 million.
The company, Global Diversified Marketing Group Inc., posted revenue of $250,627 in the quarter ended Sept. 30 selling snacks like Marble French Madeleines, Coconut Wafer Bites, Biscottelli and Chocolate Filled Croissants.
In an email, Global Diversified president Paul Adler said that he travels to food trade shows around the world. When he uncovers "unique items," Adler contacts the manufacturers and arranges for the snacks to be produced and imported to the United States.
Eighty percent of the company's products are produced in Italy, with the remainder coming from France and Eastern Europe, Adler said.
The products are sold through grocery retail chains and food-service distributors, including "several Fortune 500 companies," according to the government filing. Four customers account for 99 percent of sales.
Researcher IBISWorld says the U.S. snack food industry, led by giants including PepsiCo Inc. and Snyder's-Lance Inc., is expected to post sales of $42 billion in 2019.
Global Diversified said it is seeking an underwriter or broker-dealer to help sell the stock, the filing said.
The company plans to use the stock-sale proceeds for distribution, inventory and other expenses.
Adler owns 12.5 million shares, or 93.4 percent, of Global Diversified's stock.
Global Diversified plans to sell as many as 2.5 million of its 13.4 million shares outstanding, at a price of $2 per share. The company is seeking to get a listing for public trading from the OTC Markets Group "as soon as possible," even if the stock sale is still continuing.
Aside from Adler, who in 2012 established the Fruttata line of freeze-dried fruit snacks, the company has one employee.
In June, Adler acquired Dense Forest Acquisition Corp., a shell company based in Beverly Hills, California, changed its name to Global Diversified Marketing Group and became its president, chief financial officer and sole director.
In November, the company, which had no business operations, acquired a private snack food company owned by Adler, Global Diversified Holdings Inc. That unit's snack food operations now are reflected in the financial reports of its parent, Global Diversified Marketing Group.
Ken Schachter covers corporate news, including technology and aerospace, and other business topics for Newsday. He has also worked at The Miami Herald and The Jerusalem Post.
