Zhitong Finance App learned that the WEN.US (WEN.US) board of directors unanimously rejected a takeover offer made by a consortium led by Nelson Peltz's Trian Fund Management Company. The offer plans to buy the burger chain for about 1.4 billion US dollars. The board said the proposal seriously underestimates the company's prospects and long-term profit potential.
Wendy Burger Chairman Art Winkelblake said the board is confident about CEO Bob Wright's past performance, including his performance in turning losses into profits in the restaurant business.
As a member of the independent committee that evaluated the proposal, Winkelblake said, “We believe Bob and his executive team are capable of carrying out the plans they recently presented to our franchisees at the 2026 Wendy Hamburg Franchisee Conference.”
The stock was largely flat in pre-market trading on Thursday. The stock has declined by nearly 8.2% since this year.
As competition for fast food intensifies, Burger King returns strongly, and McDonald's is also readjusting its value packages, making it difficult for Wendy's Burger to maintain its market share. The Dublin, Ohio-based burger chain withdrew its annual guidelines last quarter and is facing the fifth year in a row of annual declines in stock prices.
Trian has attempted to acquire the burger chain several times in the past, and as of June 30, it was the chain's largest shareholder, holding 16% of the outstanding shares. The hedge fund partnered with Flynn Group, BlueFive Capital, and Sixth Street Partners in this takeover offer.