Photo: A Wendy’s restaurant in Santa Rosa, California / Missvain / CC BY 4.0
By: JBizNews Desk 🌎
Wendy’s said the independent directors of its board unanimously rejected a $7.35-a-share cash takeover offer from a group led by activist investor Nelson Peltz’s Trian Partners, saying the bid “substantially undervalues” the hamburger chain, according to a company statement Thursday.
The unsolicited, nonbinding proposal came from Trian, Flynn Group, BlueFive Capital and Sixth Street. CNBC reported the offer values the deal at about $1.4 billion.
Wendy’s also adopted a one-year shareholder-rights plan on Nov. 4, effective immediately and set to expire Nov. 3, 2027. The plan, often called a poison pill, kicks in if any investor buys 15% or more of the company’s shares, making an unapproved takeover more expensive.
Trian declined to comment, CNBC reported.
The decision means shareholders are not being offered an accepted cash exit for now, and the board keeps control of its own turnaround plan while making an unapproved takeover harder.
JBizNews Desk | New York
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