Papa John's shares plunge on WSJ report that Trian is no longer looking at company

Trian Fund Management has decided not to pursue an acquisition of Papa John's, the Wall Street Journal reported on Tuesday, sending shares of the pizza chain down 10 percent.

Other potential buyers of the pizza chain are only interested in buying a stake of the company, the Wall Street Journal reported.

Papa John's ousted founder John Schnatter as its chairman in July after a conference call leaked in which he used a racially charged slur. Since then, the company has been embroiled in a public relations nightmare that's included a war of words and two lawsuits. That drama came as the company was already struggling to compete against more innovative competitors like Domino's.

Amid the turmoil, the restaurant has enlisted the help of Bank of America and Lazard to explore a sale that has attracted initial bids from both corporate and private equity buyers, people familiar with the process have told CNBC. Challenging earnings results, however, have made those efforts more complicated.

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