- After months of negotiations, rejected deals, and talks with the Federal Trade Commission, Family Dollar's shareholders have approved the discount retailer's sale to rival Dollar Tree at a price of $74.50 per share. The two companies said the deal could close as early as March this year.
- 74% of Family Dollar shareholders voted in favor of the acquisition in a meeting Thursday. Family Dollar CEO Howard Levine will stay on in a leadership role at the combined company, where Family Dollar will become a subsidiary of Dollar Tree.
- Dollar Tree previously said that many Family Dollar locations will remain open after the merger, although they haven't stated an exact number.
There were many signs that Family Dollar would take Dollar Tree's $8.5 billion offer over rival Dollar General's hostile $9.1 billion bid, but this vote makes it concrete. At issue with Dollar General's higher bid was the threat of the FTC blocking the deal over antitrust concerns and Dollar General's unwillingness to meet the FTC's demands and satisfy their concerns.
The future of the combined company is uncertain, although Levine remains optimistic. "With this vote we are closing an impressive chapter for Family Dollar and beginning a new exciting chapter," Family Dollar CEO Howard Levine said this morning.