Wendy’s evaluating $1.4B offer from investor group

A committee of independent directors is evaluating the proposal, but the chain made no assurances over the unsolicited proposal or any other transaction.

Wendy’s is in the process of evaluating an unsolicited $1.4 billion offer to take the company private, the chain said in a Wednesday press release.

The chain confirmed that it received the non-binding offer from Trian Fund Management, Flynn Group, BlueFive Capital and Six Street Partners on Wednesday to acquire its remaining stock for $7.35 per share.

Trian first signaled interest in acquiring the chain in February, prompting the board of directors to form a committee of independent directors not associated with the investor group to evaluate any proposal from Trian, the company said. The committee will consult with financial and legal advisors as part of its fiduciary duties to see if the deal is within the best interest of Wendy’s and its shareholders.

Wendy’s said it cannot make any assurance that the company will pursue the transaction or that any other strategic outcome will occur. It added that it will not disclose any further developments about this proposal until it proves necessary to do so, and shareholders do not need to take any action.

The chain reiterated that it is in the midst of deploying a turnaround plan under the new leadership of Bob Wright, who has served as president and CEO since May. Wendy’s said it will explain the turnaround further during its Nov. 5 earnings call.

“The Company is moving with urgency and has identified core strategic areas of focus to improve performance and accelerate the business, including rebuilding a quality menu at compelling value, marketing that drives demand, operational excellence, a digital experience that builds frequency and leveraging restaurants as an engine for growth,” Wendy’s said.