Nelson Peltz Bids $1.4 Billion to Buy Wendy's
Investor Nelson Peltz wants to take Wendy's private in a $1.4 billion buyout deal.
Wendy's faces a tough battle for fast food diners. Now, its biggest backer wants full control of the burger chain.
Investor Nelson Peltz leads a group trying to buy the company. Trian Fund Management offered $7.35 per share in cash. That price values Wendy's around $1.4 billion. The offer sits 20% higher than where the stock traded before the news broke.
Peltz already serves as the chairman of the board. Taking the company private lets leaders fix sales away from the public eye. They plan to spend money on better menus and store upgrades without answering to Wall Street every quarter.
Everyday investors holding Wendy's shares stand to gain an instant cash payout if the board accepts the deal. Takeovers like this show that big funds see deep value in beaten-down consumer brands.
Source: Fox Business
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