Newscasts - Hot-diggity-dog: Smithfield Foods acquires iconic Nathan's Famous

Smithfield Foods

21/01/2026 19:54

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Source: 'Reuters - Business videos'

Description: U.S. pork processor Smithfield Foods will buy century-old Nathan's Famous in a $450 million deal that adds the most iconic U.S. hot dog name to its portfolio of brands, the company said Wednesday.

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Video Transcript:

The most iconic hot dog brand in US history will soon have a new owner. The century-old Nathan's Famous is being gobbled up by Smithfield Foods in a deal valued at $450 million. That's according to Smithfield, which will pay $102 a share, a nearly 10% premium to Nathan's close on Tuesday. Nathan's stock jumped another 9% on Wednesday after the deal was announced. Shares of Smithfield, a majority-owned subsidiary of Chinese company WH Group, rose about 2%. Smithfield already holds an exclusive license to manufacture and sell Nathan's products in the US and Canada and at Sam's Club stores in Mexico. Nathan's Famous began as a hot dog stand in 1916, founded by immigrant Nathan Handwerker with $300 borrowed from entertainers Jimmy Durante and Eddie Cantor. It initially sold hot dogs for $0.05 apiece. The brand later expanded nationwide under the leadership of Handwerker's son Murray.

For this is a battle of the ages.

Nathan's is known for its annual July 4th hot dog-eating contest in Coney Island, where winners are awarded a mustard belt for eating the most hot dogs. Last year, winner Joey Chestnut, now a 17-time champ, devoured 70.5 hot dogs and buns in 10 minutes, according to the company's website.

It's an amazing Fourth of July celebration. The deal is expected to close in the first half of this year.