Shares of Wendy's/Arby's have fallen 17% since the two chains merged two years ago in a deal orchestrated by billionaire investor Nelson Peltz, leading some shareholders to express their discontent with the deal. The combined company's performance has been hurt by a continued slowdown at Arby's, a historically higher-priced chain that has seen sales and profits fall during the downturn, despite the introduction of a lower-priced value menu.
Nelson Peltz, chairman of the Wendy's/Arby's Group, disclosed in a regulatory filing that an unnamed group has expressed interest in acquiring the company. The news comes on the heels of Apollo Management's deal to acquire Carl's Jr. parent CKE Restaurants, indicating a warming of the restaurant M&A market, some industry watchers say.
As Denny's struggles to revitalize the brand by focusing on the fundamentals of the business, it is not ignoring social media efforts, Mediapost reports. In addition to offering coupons and promotions, the chain has gotten creative in its social marketing, courting Facebook fans and building an online audience with promotions such as one this month that lets users create their own Father's Day cards.
Americans profess a love for small businesses -- as Tom Hanks did at a recent visit to a family-owned California stationery store -- but does that love translate into an increase in the bottom line? At the very least, it's winning some help for small-business owners, including hotel discounts as well as programs from Overstock.com, Bank of America and online advertising firm WebVisible.
Shareholders approved Triarc's $2.34 billion takeover of Wendy's International on Monday. Directors of both companies had already approved the deal. Triarc, owned by billionaire investor Nelson Peltz, also operates the Arby's chain.