Wendy's to open books to Peltz
August 29, 2007
by Eric Schroeder
DUBLIN, OHIO — Wendy’s International Inc. this week said it will give billionaire investor Nelson Peltz and his company, Triarc Cos., an opportunity to review confidential and proprietary information so they may decide whether or not to bid for the company. Triarc already owns Arby’s, another fast-food chain.
In April, Wendy’s formed a committee to look for ways to boost the company’s stock price, including a possible sale. Mr. Peltz, who runs the Trian Fund, stepped in during July, saying he had increased his stake in Wendy’s to 9.8% of the company’s total shares. He subsequently announced his intent to offer $37 to $41 per share for Wendy’s, which would have put the company’s value at $3.2 billion to $3.6 billion.
In its Aug. 28 filing with the Securities and Exchange Commission, Wendy’s laid out several ground rules for Triarc, including forbidding Triarc from soliciting for employment or hire any officer of Wendy’s for a period of 18 months. Wendy’s also said money damages "would not be a sufficient remedy for any breach of this agreement."