Wendy’s announced plans Wednesday to significantly reduce its number of company-owned location by selling 380 restaurants this year and an additional 260 restaurants in 2016.
The push to reduce the number of company-owned locations is attached to a larger Wendy’s business strategy that includes plans to sell its bakery in Zanesville, Ohio.
A private equity group will manage the sales to reduce the number of corporate-owned restaurants and transfer ownership to potential franchisees.
The news came as Wendy’s reported positive growth in first-quarter financial results, according to fox40.
Although overall earnings fell, sales have risen 3.2 percent at both corporate-owned and franchise stores and Wendy’s predicts that the looming sales will free up an additional $475 million in cash.