The dollar store wars continue as Dollar General raises its bid for Family Dollar

The dollar store wars continue as Dollar General raises its bid for Family Dollar
(Image credit: CC by: Mike Mozart)

Dollar General still wants to buy Family Dollar, and on Tuesday, it upped its bid for the struggling chain.

Dollar General Corp. raised its bid for Family Dollar Stores Inc. to roughly $9.1 billion. Dollar General added that it would more than double the number of stores divested, from 700 to 1500, "to avoid trouble with regulators" and antitrust laws, The Associated Press reports. Dollar General has also offered to fund a $500 million breakup fee to Family Dollar.

Dollar Tree Inc. had originally planned to buy Family Dollar for $8.5 billion, but Dollar General was quick to follow with an original $8.9 billion bid for Family Dollar, which Family Dollar rejected. AP reports that Dollar General's latest bid is worth $80 per share.

Subscribe to The Week

Escape your echo chamber. Get the facts behind the news, plus analysis from multiple perspectives.

SUBSCRIBE & SAVE
https://cdn.mos.cms.futurecdn.net/flexiimages/jacafc5zvs1692883516.jpg

Sign up for The Week's Free Newsletters

From our morning news briefing to a weekly Good News Newsletter, get the best of The Week delivered directly to your inbox.

From our morning news briefing to a weekly Good News Newsletter, get the best of The Week delivered directly to your inbox.

Sign up

Dollar General CEO Rick Dreiling told AP that the company raised its bid "to demonstrate the seriousness of our commitment."

Explore More

Meghan DeMaria is a staff writer at TheWeek.com. She has previously worked for USA Today and Marie Claire.