ATLANTA Triarc Cos. Inc.’s offer to acquire Wendy’s International Inc. through a $2.34 billion stock swap will be submitted to the companies’ respective shareholders for approval at separate but simultaneous meetings on Sept. 15, the parties jointly announced Friday.
The announcement stressed that the deal would improve the margins of Wendy’s namesake burger chain and units of Triarc’s Arby’s sandwich brand, which is owned by the holding company’s Arby’s Restaurant Group Inc. The press release also cited breakfast service and international expansion as opportunities for Wendy’s/Arby’s Group Inc., the company that would be formed by the transaction.
The concern would operate about 1,169 Arby’s restaurants and 1,402 Wendy’s outlets. Franchisees operate 2,550 Arby’s units and 5,223 Wendy’s branches, for a combined network of more than 10,300 units.
The statement repeated earlier indications that Wendy’s and Arby’s would be run as separate businesses, headquartered in Dublin, Ohio, and Atlanta, respectively. Unspecified support services would be offered from Atlanta, where administrative duties related to Triarc’s public ownership would also be handled, according to the announcement.
The pending deal, which already has been approved by the boards of both companies, calls for Wendy’s shareholders to receive 4.25 shares of Triarc Class A Common Stock for each Wendy’s common share they hold.