ATLANTA Triarc Cos. Inc.’s long pursuit of Wendy’s International Inc. officially ended today with the consummation of a $2.34 billion stock swap and merger. The deal forms a new publicly traded company called Wendy’s/Arby’s Group Inc., operator or franchisor of 10,344 Arby’s and Wendy’s quick-service restaurants.
The merger, which had already been approved by both companies’ boards of directors and shareholders, gave Wendy’s stockholders 4.25 shares of Triarc Class A Common Stock for each Wendy’s common share they held.
Wendy's/Arby's will trade under the symbol “WEN” on the New York Stock Exchange starting Tuesday.
The company will operate a consolidated support center in Georgia that will oversee shared service functions as well as all public company issues. Officials have said the two companies will operate as separate businesses, with Wendy’s continuing to be based in the Dublin, Ohio, and Arby’s remaining in Atlanta.
Wendy’s/Arby’s will operate 1,169 Arby’s and 1,402 Wendy’s restaurants, while franchisees will operate about 2,550 Arby’s and 5,223 Wendy’s outlets.
Roland C. Smith, president and chief executive officer of Wendy's/Arby's Group, said in a statement: "I am delighted to announce the completion of this merger, which creates a world-class company with the strength, scale and expertise necessary to thrive in a competitive restaurant environment. As one company, we are well-positioned to deliver long-term value to our stockholders through enhanced operational efficiencies, improved product offerings, shared services and strong human capital. We have worked together diligently to close this transaction over the past several months, and will push forward with that same intensity."
Smith has earlier said that the new company would try to boost revenues for both brands in part by focusing on snacks, breakfasts and international development.
The deal had been announced last April, after more than a year of sometimes strained communications between the parties and affiliates.