Smithfield Foods has agreed to acquire Nathan’s Famous in an all-cash transaction valued at $450 million, or $102 per share, eliminating the expiration risk of its 2014 licensing agreement set to lapse in 2032. The merger, unanimously approved by Nathan’s Famous’ board and backed by directors holding 29.9% of shares, is expected to close in the first half of 2026 pending shareholder and regulatory approvals, including antitrust and CFIUS clearance.

By moving from licensee to full owner, Smithfield secures perpetual rights to one of America’s most recognizable hot dog brands across U.S. retail, foodservice and select Canadian and Mexican markets. CEO Shane Smith highlighted that the acquisition bolsters the company’s Packaged Meats portfolio, leverages Smithfield’s manufacturing scale and marketing strength, and unlocks new growth opportunities through enhanced product innovation and tighter channel integration.

The deal is projected to be immediately accretive to adjusted diluted earnings per share and generate approximately $9 million in annual cost savings by the second year post-close, driven by operational efficiencies. As of September 28, 2025, Smithfield held $3.069 billion in available liquidity—$773 million in cash and $2.297 billion in undrawn credit capacity—enabling the transaction to be financed entirely from existing resources without issuing new debt.