Triarc Companies, Inc., the franchisor of the Arby’s restaurant system, and Wendy’s International, Inc. announced they have signed a definitive merger agreement for an all-stock transaction in which Wendy’s shareholders will receive a fixed ratio of 4.25 shares of Triarc Class A Common Stock for each share of Wendy’s common stock they own. The transaction will bring together Arby’s and Wendy’s. Combined they will have approximately 10,000 restaurant units and pro forma annual system sales of approximately $12.5 billion, positioning it as the nation’s third largest quick service restaurant company.
Arby’s and Wendy’s will operate as autonomous brand business units headquartered in Atlanta, GA, and Dublin, OH, respectively, each dedicated to operational improvements. The new company expects to pursue daypart expansion, primarily focused on breakfast, global expansion for both brands, and growth through future acquisitions and new unit development. A consolidated support center to be based in Atlanta will oversee all public company responsibilities and other central service functions.
Roland Smith, 53, Triarc’s Chief Executive Officer, will continue in that role for the combined company and also will become Chief Executive Officer of the Wendy’s brand. Triarc will change its corporate name post-merger to include the name “Wendy’s” and to reflect its new identity as the owner of this leading and well-recognized restaurant brand.