Wendy's Rejects $1.4 Billion Offer

Wendy's has rejected a $1.4 billion offer from Nelson Peltz's Trian Fund Management and its partners. The group wanted to acquire the fast-food chain in full. According to Wendy's, the proposed price falls significantly short of the company's real value.

The company has also taken additional measures to prevent the major investor from accumulating a large stake without its consent. Trian and its affiliated companies already own 16.3% of Wendy's.

The group can now either raise its offer price, demand changes in the company's leadership, or wait for the results of Wendy's new plan.

As for Wendy's sales, U.S. restaurant sales fell 5.7% in the third quarter. The company is working on changes to its menu and marketing, and is also considering acquiring up to 163 restaurants.

Source: Reuters