America’s most iconic hot dog brand just got a new owner. Nathan’s Famous was acquired by Smithfield Foods in a $450 million all-cash deal, the companies announced Wednesday.
Yes, the Nathan’s behind the Coney Island legend and the annual hot dog eating contest.
From Coney Island nickel dogs to global brand
Nathan’s started in 1916 as a single hot dog stand on Coney Island, founded by Nathan Handwerker selling hot dogs for five cents. The brand scaled fast on a simple formula: cheap comfort food, a secret spice blend, and a name that started traveling far beyond New York. It eventually went public in 1968, turning a boardwalk staple into an actual public company.
Fast forward to today and Nathan’s Famous is a global packaged-food brand, producing over $148 million in sales in FY2025.
Where the money actually comes from
Nathan’s biggest revenue engine is not restaurants. It’s the branded product business, where food service operators sell Nathan’s products across restaurants, hotels, stadiums, and arenas.
In the most recent fiscal quarter, that branded product segment generated $29 million, about 64% of total revenue. Meanwhile, the restaurant segment (company-owned and franchised locations) brings in much smaller numbers, even though it tends to pop more in the summer.
Turns out the best hot dog business is selling the hot dogs everywhere else.
Why Smithfield wanted it
Smithfield already had the rights to produce and sell Nathan’s products in the US and Canada, so buying the whole brand is basically the next logical step. Packaged meats are already Smithfield’s largest segment, and Nathan’s gives it a growing, recognizable, high-distribution name to lean into.
Even funnier: Smithfield is a pork giant, while Nathan’s is famously all-beef.
The companies are forecasting about $9 million in annual cost synergies within two years, with the deal expected to close in early 2026.
The bigger play: global expansion
Nathan’s already sells in roughly 79,000 locations across 21 countries, and Smithfield’s scale could help push international distribution even faster. In other words, Nathan’s wants to go from “American cookout icon” to “global processed meat powerhouse.”
That’s a long way from one cart on Coney Island.