Nathan’s Famous, which opened as a 5-cent hot dog stand in Coney Island more than a century ago, has been sold to packaged meat giant Smithfield Foods in an all-cash $450 million deal, the companies announced Wednesday.
Smithfield, which has held rights to produce and sell Nathan’s products in the U.S. and Canada and at Sam's Clubs in Mexico since 2014, will acquire all of Nathan's outstanding shares for $102 each.
Like almost every food company, Nathan’s has been under significant inflationary pressure. Nathan's sales costs of branded products rose 27% compared with last year in its most recent quarter, the company said in a filing with the U.S. Securities and Exchange Commission. There was a 20% increase in the average cost per pound of hot dogs, it said.
Nathan Handwerker opened the first Nathan’s hot dog stand on Coney Island in 1916 with a $300 loan, according to the company. After opening a handful of other locations around New York over the years, the Handwerker family sold the Nathan’s Famous business to investors in 1987. The franchise has continued to expand.
Nathan’s has an outsized cultural presence in the U.S. both because of its history and the famous, or infamous, hot dog-eating contest held at its flagship Coney Island shop, where contestants from around the world gather every July 4 to see who can down the most hot dogs in 10 minutes.
The restaurant sits on same lot where Handwerker opened his first hot dog stand.
American Joey Chestnut is the reigning Nathan’s hot dog-eating champion after eating 70.5 hot dogs and buns last year. Chestnut has won 17 of the last 19 events, setting a record in 2021 after wolfing down 76 hot dogs and buns.
While the first recorded hot dog-eating contest was held in 1972, Nathan’s says informal contests began the year the stand opened early in the 20th century. It says the 2025 contest was its 103rd.
Smithfield said Wednesday that the event, which has been televised on ESPN with a crowd estimated at 30,000 at Coney Island each year, will continue.
Smithfield said it expects to achieve annual savings of about $9 million within two years of closing the deal.
“As a long-time partner, Smithfield has demonstrated an outstanding commitment to investing in and growing our brand while maintaining the utmost quality and customer service standards,” said Nathan's CEO Eric Gatoff.
Nathan's board of directors, which own or control nearly 30% of the outstanding shares of Nathan’s Famous common stock, approved the buyout and agreed to recommend to its shareholders to vote in favor of the deal.
Smithfield, which also owns the Gwaltney bacon and Armour frozen meat brands, rang up more than a billion dollars in operating profit in 2024 on sales of $14.1 billion.
Smithfield shares were unchanged in midday trading Wednesday at $23.39.
In fiscal 2025, Nathan’s reported profit of $24 million on revenue approaching $150 million. It's acquisition is expected to close in the first half of this year.
FILE - Joey Chestnut, winner of the 2021 Nathan's Famous Fourth of July International Hot Dog-Eating Contest, poses for photos in Coney Island's Maimonides Park, July 4, 2021, in the Brooklyn borough of New York. (AP Photo/Brittainy Newman, File)
CHENNAI, India (AP) — Opening batters Priyansh Arya and Prabhsimran Singh gave Punjab Kings a flying start to a target of 210 as they overhauled Chennai Super Kings in the Indian Premier League on Friday.
Impact substitute Arya set the tone with 39 runs off 11 balls as he and Singh rumbled to 68-1 in the powerplay. Captain Shreyas Iyer's 26-ball half-century and Cooper Connolly's 36 ensured Punjab reached 210-5 with eight balls to spare and won by five wickets.
Chennai thought it put up a defendable total of 209-5 at home thanks to former India Under-19 captain Ayush Mhatre's 73 off 43, Shivam Dube's unbeaten 45 off 27 and Sarfaraz Khan's cameo 32 off 12.
But Chennai's bowling was ordinary. Only five bowlers were used while allrounders Dube and debutant Prashant Veer were not used.
“That was an exceptional start for us,” Iyer said. “I feel the way they (Arya and Singh) have been batting has been phenomenal and it stabilizes the rhythm for us. I am glad everyone is getting to bat. It gives immense confidence to the team.”
Arya smacked fast bowler Matt Henry for three fours and a six in a 20-run second over after the left-hander hit Khaleel Ahmed for a four and a six off the first two legitimate balls in the first over.
Singh raised Punjab’s 50 in only the third over when he took three boundaries off Anshul Kamboj.
Henry rattled Arya's off stump and Singh was run out in a mixup with Connolly when the Australian refused to go for a tight second run. Connolly holed out at long-on then Iyer took charge of the chase.
Iyer smashed three sixes and four boundaries in a 59-run stand with Nehal Wadhera that sealed the result.
Earlier, Iyer continued the template of teams preferring to chase when he won the toss and elected to field. Sanju Samson, returning to his home venue, perished in the second over for just 7.
Mhatre showed plenty of aggression in a stand of 96 with captain Ruturaj Gaikwad, who made a scratchy 28 before falling to IPL leading wicket-taker Yuzvendra Chahal in the 12th over.
Mhatre looked set for a big knock after crashing five sixes and six boundaries and was livid with himself when he was caught at short third while attempting an extravagant shot against Vijakumar Vyshak (2-38).
Khan and Dube propelled Chennai beyond 200 but their bowlers couldn't tie down Punjab.
“We felt ... having two wrist-spinners bowling in tandem will help but off-day for both of them and that is what cost us,” Gaikwad said.
AP cricket: https://apnews.com/hub/cricket
Punjab Kings' Vijaykumar Vyshak celebrates the wicket of Chennai Super Kings' Ayush Mhatre, right, with teammates during the Indian Premier League cricket match between Chennai Super Kings and Punjab Kings in Chennai, India, Friday, April 3, 2026. (AP Photo/Aijaz Rahi)
Chennai Super Kings' Ayush Mhatre plays a shot during the Indian Premier League cricket match between Chennai Super Kings and Punjab Kings in Chennai, India, Friday, April 3, 2026. (AP Photo/Aijaz Rahi)
Punjab Kings' Cooper Connolly plays a shot during the Indian Premier League cricket match between Chennai Super Kings and Punjab Kings in Chennai, India, Friday, April 3, 2026. (AP Photo/Aijaz Rahi)
Punjab Kings' captain Shreyas Iyer during the Indian Premier League cricket match between Chennai Super Kings and Punjab Kings in Chennai, India, Friday, April 3, 2026. (AP Photo/Aijaz Rahi)
Punjab Kings' Priyansh Arya bowled out by Chennai Super Kings' Matt Henry during the Indian Premier League cricket match between Chennai Super Kings and Punjab Kings in Chennai, India, Friday, April 3, 2026. (AP Photo/Aijaz Rahi)
