The Wendy's logo is seen on a sign outside of the fast food restaurant near Bloomsburg.

Wendy's on Thursday said that it is rejecting a $1.4 billion takeover offer from a group of investors led by Nelson Peltz's Trian Fund Management.

The group offered $7.35 per share in cash on Oct. 28 to take the struggling burger chain private. In addition to Trian, it included investment firms BlueFive Capital and Sixth Street Partners, plus Flynn Group, one of Wendy's largest franchisees.

In February, Wendy's board formed a committee of independent directors to assess any potential bid from Trian in response to a regulatory filing from the firm. The committee found that the proposal "substantially undervalues" Wendy's and does not reflect potential gains from the chain's ongoing turnaround strategy, the company said in a press release on Thursday.

Trian declined to comment on Wendy's decision.

The company also reported its third-quarter results on Thursday. Its same-stores declined for the seventh straight quarter. However, its quarterly earnings and revenue topped Wall Street's expectations.

Shares of Wendy's fell less than 1% in premarket trading. The takeover offer had lifted the stock, which has lost about 60% of its value over the last three years.

Wendy's is not the only restaurant chain that has found itself in the crosshairs of activist investors recently. Applebee's owner Dine Brands recently adopted a poison pill to block a takeover bid from investment firms Arkhouse Management and Cobblers Cove Capital.