Food and beverage holding company, Pacific Ventures Group, Inc. (OTCPK:PACV) was in the news today as the company announced that it has signed a Letter of Intent (LOI) to acquire a food distribution company located on the East coast of the United States with annual revenues of $37 million.
Pacific Ventures Group, through its affiliates, owns all of the rights and holds the appropriate licenses to sell its alcohol infused frozen ice and cream based adult consumables under the trade name “SnöBar.”
“We believe that this acquisition will dramatically expand the distribution and accelerate the sales of SnöBar,” said Shannon Masjedi, CEO of Pacific Ventures Group, Inc. “Acquiring this East coast food distribution company is a strategic and logical complement to Pacific Ventures Group’s food, beverage and alcohol distribution business.”
The objective of the acquisition is to prepare the Company’s sales and distribution of SnöBar ice pops for rapid growth in the east coast of the United States. The SnöBar line of products have the unique feature of having alcohol evenly distributed through its ice cream and ices bars, dramatically adding to its taste and further establishing the Company’s leadership position in this product category.
News of the LOI are sending shares of PACV up by about 4.4% in early-afternoon trading with the stock currently sitting at $0.026. Even though 2018 has been rough on the company’s stock price, shares are up 333% from their mid-June lows as positive corporate developments entice investors back into the name.