PepsiCo Inc and Trian Fund Management's Nelson Peltz agreed on a timeframe to discuss the activist investor's proposal. Peltz suggested enhancing stockholder returns. Their talks were about to be finalized as stated by three people with knowledge of the issue.

Peltz was part of some of the largest deals in the international food industry. In April, he revealed that he owned a stake in PepsiCo. It was speculated that Peltz wanted to merge the softdrink and snack manufacturer with Mondelez International Inc. Mondelez was the maker of Oreo cookies.

Trian owned PepsiCo's 12 million stocks as of March 31. It also owned 40.3 million stocks in Mondelez. According to a regulatory filing, the combined total of its assets was US$2.19 billion.

Trian and PepsiCo settled on a timeframe to consider the suggestions. They would talk about the possible purchase of Mondelez, strategic options for the beverage company and some cost-cutting activity.

"Oftentimes companies react if they're put under pressure by activists in doing some of the right things from a shareholder perspective, like returning cash to shareholders, increasing the dividend, maybe structural changes," Sanford Bernstein's analyst, Ali Dibadj, said. "My sense is that at this point they can still deliver okay numbers relative to some expectations. They may not need to do that."