Key Takeaways
- Smithfield Foods unveiled terms Tuesday for its planned initial public offering, with the largest U.S. pork producer expecting shares to price between $23 and $27 each.
- The midpoint of the expected IPO price range would give Smithfield a market cap of nearly $10 billion.
- Smithfield has applied to list on the Nasdaq under the ticker “SFD.”
Smithfield Foods unveiled terms Tuesday for its planned initial public offering (IPO), with the largest U.S. pork producer and Hong Kong-listed parent company WH Group both planning to offer 17.4 million shares at a price between $23 and $27 each.
The largest U.S. pork producer estimates the move will generate $400.4 million in proceeds and said it would have almost 397.5 million shares outstanding after the IPO, resulting in a market capitalization of nearly $10 billion at the midpoint of the offering range. The high end of the range would give it a market cap of more than $10.7 billion.
The company estimated that it generated a gross profit of $515 million to $543 million on sales between $3.87 billion and $3.95 billion for the three months ended Dec. 29.
After the IPO, WH Group still would own about 90% of Smithfield, which has applied to list on the Nasdaq under the ticker “SFD.”
The planned IPO comes after companies going public raised $39.32 billion in the U.S. in 2024, more than in the previous two years, per Dealogic data. Market participants widely expect 2025 to be a better year for IPOs, with President Donald Trump seen easing regulations and the Federal Reserve cutting interest rates.
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