Smithfield Foods IPO opens at $21.05, trades lower

Published 28/01/2025, 19:56
© Reuters.

Investing.com -- Today, Smithfield Foods, Inc., an American food company with a leading position in packaged meats and fresh pork products, debuted on the Nasdaq Global Select Market under the ticker symbol (NASDAQ:SFD). The initial public offering (IPO) opened at $21.05 after pricing 26,086,958 shares of its common stock at $20.00 per share. However, the shares have since traded down 1.25% to $19.75.

The offering, which is expected to close on January 29, 2025, consists of 13,043,479 shares of common stock to be sold by the Company and an equal number to be sold by the Company’s existing shareholder identified in the registration statement.

Furthermore, the underwriters of the offering have been granted a 30-day option to purchase up to 3,913,042 additional shares of the Company’s common stock at the initial offering price, less underwriting discounts and commissions. It should be noted that the Company will not receive any proceeds from the sale of the shares by the selling shareholder.

The IPO is being managed by several companies. Morgan Stanley (NYSE:MS), BofA Securities, and Goldman Sachs & Co (NYSE:GS). LLC are acting as joint lead book-running managers for the proposed offering. Barclays (LON:BARC) and Citigroup (NYSE:C) are also serving as joint book-running managers. BNP PARIBAS, HSBC, Rabo Securities, and BTIG are also acting as book-running managers for the proposed offering. PNC Capital Markets LLC is acting as a co-manager.

Smithfield Foods, Inc. is known for its diverse brand portfolio and strong relationships with U.S. farmers and customers, responsibly meeting demand for quality protein around the world.

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