Wendy'''s International said it is set to invest
$525 million between 2007 and 2012 into improving its hamburger
restaurants. Wendy's also said it would buy back up to 30% of its
outstanding shares or 34.5 million, over 2007 and 2008. It will
start the effort with an $800 million Dutch auction, in which
shareholders set the price they're willing to take for their
shares. Wendy’s will then purchase shares from the lowest bidders.
The Dublin-based hamburger chain is to make the following
investments to strengthen the chain:
- $100 million over the next five years to buy franchised restaurants to renovate and resell.
- About $60 million a year over the next five years to renovate company-owned restaurants.
- About $25 million a year over the next five years in incentives for franchisees to upgrade their restaurants.
