US discounters get antitrust request for info
TWO TOP US discounters yesterday reported that they had received a second request for information from American antitrust regulators about Dollar Tree’s $8.5bn (£5.25bn) bid to acquire Family Dollar.
The move by the Federal Trade Commission (FTC), which Dollar Tree said last week was coming, means the deal’s government-mandated waiting period would be extended until 30 days after the companies had complied with the request.
Still, Dollar Tree and Family Dollar reiterated their expectation that the takeover would be completed as soon as the end of November.
The battle for Family Dollar escalated last week after Dollar General, another discount retailer, slightly raised its bid for its smaller rival and took steps to help allay antitrust concerns.
However, Family Dollar rejected the sweetened $9.1bn proposal, saying it was already in discussions with the FTC over the antitrust implications of its deal to be bought by Dollar Tree.
Family Dollar and Dollar General operate near-identical businesses, selling everyday household items, while Dollar Tree stores sell most of their products for $1.