Smithfield Foods Announces Pricing of Upsized Secondary Offering of Common Stock
Rhea-AI Summary
Smithfield Foods (Nasdaq: SFD), a leading American food company specializing in value-added packaged meats and fresh pork, has announced the pricing of an upsized secondary public offering. The company's principal shareholder, SFDS UK Holdings Limited, will sell 19,531,698 shares at $23.25 per share.
The underwriters have been granted a 30-day option to purchase up to 2,929,754 additional shares at the same public offering price. Morgan Stanley, BofA Securities, and Barclays are serving as joint lead book-running managers, with Goldman Sachs, Citigroup, and BNP Paribas acting as joint book-running managers. The offering is expected to close on September 8, 2025.
Importantly, Smithfield Foods will not receive any proceeds from this secondary offering, as all shares are being sold by the existing shareholder.
Positive
- None.
Negative
- Large secondary offering of 19.5M shares could create selling pressure on the stock
- Principal shareholder reducing stake signals potential lack of confidence
- Company receives no proceeds from the offering to fund operations or growth
News Market Reaction 9 Alerts
On the day this news was published, SFD declined 1.77%, reflecting a mild negative market reaction. Our momentum scanner triggered 9 alerts that day, indicating moderate trading interest and price volatility. This price movement removed approximately $165M from the company's valuation, bringing the market cap to $9.14B at that time. Trading volume was very high at 4.3x the daily average, suggesting heavy selling pressure.
Data tracked by StockTitan Argus on the day of publication.
SMITHFIELD, Va., Sept. 04, 2025 (GLOBE NEWSWIRE) -- Smithfield Foods, Inc. (Nasdaq: SFD) (the “Company”), an American food company and an industry leader in value-added packaged meats and fresh pork, today announced the pricing of a secondary public offering of 19,531,698 shares of common stock of the Company sold by SFDS UK Holdings Limited, the principal shareholder of the Company, at a price to the public of
Morgan Stanley, BofA Securities and Barclays are acting as joint lead book-running managers for the proposed offering. Goldman Sachs & Co. LLC, Citigroup and BNP Paribas are acting as joint book-running managers.
A registration statement, including a prospectus, relating to these securities has been filed with, and declared effective by, the U.S. Securities and Exchange Commission (the “SEC”). The offering is being made only by means of a prospectus. Copies of the final prospectus related to this offering, when available, may be obtained for free by visiting EDGAR on the SEC website at www.sec.gov. The prospectus relating to the proposed offering may also be obtained from Morgan Stanley & Co. LLC, Attention: Prospectus Department, 180 Varick Street, 2nd Floor, New York, NY 10014; BofA Securities, Inc., NC1-022-02-25, 201 North Tryon Street, Charlotte, NC 28255-0001, Attn: Prospectus Department, by email at dg.prospectus_requests@bofa.com; and Barclays Capital Inc., Attention: Broadridge Financial Solutions, 1155 Long Island Avenue, Edgewood, NY 11717.
This press release shall not constitute an offer to sell or the solicitation of an offer to buy any securities of the Company, nor shall there be any sale of these securities in any state or jurisdiction in which such offer, solicitation or sale would not be permitted.
Forward-Looking Statements
This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. All statements other than statements of historical facts contained in this press release, including statements regarding the proposed offering, are forward-looking statements. In some cases, you can identify forward-looking statements because they contain words such as “may,” “will,” “shall,” “should,” “expects,” “plans,” “anticipates,” “intends,” “projects,” “contemplates,” “believes,” or “estimates” or other similar terms or expressions that concern our expectations, strategy, plans, or intentions. Although we believe that we have a reasonable basis for each forward-looking statement contained in this press release, the results, events and circumstances reflected in the forward-looking statements may not be achieved or occur, and actual results, events or circumstances could differ materially from those described in the forward-looking statements. We undertake no duty to update any statement made in this press release in light of new information or future events. The forward-looking statements contained in this press release are subject to substantial risks and uncertainties that could affect our current expectations and our actual results. A detailed discussion of these uncertainties and risks that affect our business is contained in our SEC filings, including our reports on Form 10-K and Form 10-Q, particularly under the heading “Risk Factors.”
About Smithfield Foods
Smithfield Foods, Inc. (Nasdaq: SFD) is an American food company with a leading position in packaged meats and fresh pork products. With a diverse brand portfolio and strong relationships with U.S. farmers and customers, we responsibly meet demand for quality protein around the world.
Investor Contact:
Julie MacMedan
Email: ir@smithfield.com
Media Contact:
Ray Atkinson
Email: ratkinson@smithfield.com
Cell: 757.576.1383
FAQ
What is the size and price of Smithfield Foods (SFD) secondary offering in September 2025?
Will Smithfield Foods (SFD) receive any proceeds from the secondary offering?
Who are the underwriters for Smithfield Foods' September 2025 secondary offering?
When will Smithfield Foods' (SFD) secondary offering close?
How many additional shares can underwriters purchase in Smithfield Foods' offering?
