KOFO Local News

Family Dollar seeking a shareholder vote delay in corporate battle against Dollar General

Posted in Uncategorized by kofonews on December 22, 2014

CHARLOTTE, N.C. — Although a vote was scheduled today, officials of discount retailer Family Dollar were trying to delay the stockholder vote on a proposed sale to Dollar Tree. There was no immediate word if the delay was successful. Analysts have said the vote could be postponed because the Federal Trade Commission hasn’t yet said whether it would block a hostile takeover by rival discount retailer Dollar General because of antitrust concerns. Institutional Shareholder Services, a leading proxy advisory consultant which opposed the proposed Family Dollar-Dollar Tree merger, had also asked for a delay in today’s vote. Ironically, a group of Family Dollar shareholders who supported Dollar General’s bid, tried to block a vote but were denied by a Delaware court Friday. The North Carolina-based Family Dollar is trying to be acquired by Virginia-based Dollar Tree for $8.5 billion in cash and stock. However, the Tennessee-based bitter rival Dollar General has offered $9.1 billion in cash. Dollar General’s bid has been opposed by the by the Family Dollar board. Dollar Tree executives have said they would leave much of the Family Dollar corporate structure intact. Dollar General hasn’t said what it would do with Family Dollar, but has many stores and operations that duplicate stores Family Dollar. North Carolina government officials have lobbied heavily for the Dollar Tree merger.  There are several stores of all three discount retailers in the area.  Two Dollar General stores and a Dollar Tree store are in Ottawa.  The closest Family Dollar store is in Osawatomie.
Monday, Dec. 22, 4 p.m.

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