Nathan’s Well-known, which opened as a 5-cent scorching canine stand in Coney Island greater than a century in the past, has been bought to packaged meat big Smithfield Meals in a $450 million all-cash deal, the businesses introduced Wednesday.
Smithfield, which has held rights to supply and promote Nathan’s merchandise within the U.S., Canada and at Sam’s Golf equipment in Mexico since 2014, will purchase all of Nathan’s excellent shares for $102 every. The transaction is predicted to shut within the first half of 2026.
Smithfield mentioned it expects to attain annual financial savings of about $9 million inside two years of closing the deal.
“As a long-time companion, Smithfield has demonstrated an excellent dedication to investing in and rising our model whereas sustaining the utmost high quality and customer support requirements,” mentioned Nathan’s CEO Eric Gatoff.
Nathan’s board of administrators, which personal or management almost 30% of the excellent shares of Nathan’s Well-known frequent inventory, accepted the buyout and agreed to suggest to its shareholders to vote in favor of the deal.
Smithfield, which additionally owns the Gwaltney bacon and Armour frozen meat manufacturers, rang up greater than $1 billion in working revenue in 2024 on gross sales of $14.1 billion. It’s on monitor to eclipse each these figures when it reviews its fourth-quarter outcomes.
Smithfield shares had been unchanged in noon buying and selling Wednesday at $23.39.
In fiscal 2025, Nathan’s reported revenue of $24 million on income approaching $150 million.
This story was initially featured on Fortune.com
