MATTHEWS, N.C. (AP) — Family Dollar is delaying a special meeting at which shareholders were to vote on its $8.5 billion acquisition by Dollar Tree as regulators determine how many stores might need to be divested for antitrust reasons.
The discount retailer said Wednesday that an update on the status of the Federal Trade Commission review is expected by the end of the first week of December.
Dollar General said in a separate statement that is still committed to acquiring Family Dollar and that it is in talks with the FTC about the divestitures needed.
The meeting was rescheduled so shareholders would have enough time to review any additional information they receive prior to the meeting. The meeting scheduled for Dec. 11 will now be held almost two weeks later, on Dec. 23.
In July Dollar Tree Inc. agreed to buy Family Dollar for $8.5 billion, or $74.50 per share in cash and stock. Dollar General Corp. made a $9.1 billion bid, which Family Dollar’s board rejected. Dollar General took its offer directly to Family Dollar shareholders, but it has garnered little support.
Dollar Tree, based in Chesapeake, Virginia, sells all items for $1 or less. Family Dollar and Goodlettsville, Tennessee-based Dollar General carry more national brands and items that cost several dollars.
Shares of Family Dollar Stores Inc., based in Matthews, North Carolina, shed 50 cents to $78.35 in afternoon trading, while Dollar Tree’s stock rose 43 cents to $62.42.