Family dollar

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Family Dollar Stores Inc.
legal form Inc.
founding 1959
Seat Chesapeake, Virginia , USA
management Gary Philbin, CEO
Howard R. Levine, Chairman
Number of employees 60,000 (2015)
sales 10.5 billion US dollars (2014)
Branch retail trade
Website https://www.familydollar.com

Family Dollar branch in Valdosta

Family Dollar is a US chain of low-cost general stores. More than 8,000 stores operate under her name in almost every state in the United States. This makes Family Dollar the second largest retailer of its kind in the United States. Since the acquisition by Dollar Tree , the company's headquarters have been in Chesapeake, Virginia .

In July 2014, competitor Dollar Tree announced that it would take over Family Dollar for 8.5 billion US dollars. On January 22, 2015, the shareholders approved this and the takeover took place.

history

Family Dollar was founded in 1959 by the then 21-year-old entrepreneur Leon Levine . In November of that year, the company's first store opened in Charlotte, North Carolina . In 1961 a store opened in South Carolina , followed by branches in Georgia (1962) and Virginia (1965). In 1969, fifty shops were operated in the founding city of Charlotte alone.

The company went public in 1970 at a price of $ 14.50 per share. From 1979 Family Dollar was traded on the New York Stock Exchange; In 1989 there were 1,500 Family Dollar stores. 2001 Family Dollar was S & P 500 - stock index and 2002 in the 500 Fortune added list of the largest listed companies.

When founder Leon Levine retired from the company in 2003, his son, Howard R. Levine, succeeded him as Chairman and CEO .

takeover

On June 6, 2014, active investor Carl Icahn announced that his company Icahn Enterprises held a 9.4% stake in Family Dollar. On June 19, 2014, Icahn requested in an open letter that Family Dollar should be put up for sale immediately. Goldman Sachs and other analysts had previously suspected a large number of potential buyers. At that point in time, Family Dollar held 22% of the shares in the hands of active investors.

On July 28, 2014, Dollar Tree announced that it would take over Family Dollar for $ 74.50 per share, while also assuming $ 1 billion in debt from the company. With that, the company was de facto valued at $ 9.5 billion. Dollar Tree CEO Bob Sasser announced that Howard R. Levine will join Dollar Tree's board of directors .

Another bidder, Dollar General , outbid Dollar Tree on Aug. 18, 2014 with a bid of $ 78.50 per share. This bid was rejected by Family Dollar; the reason given was the rejection of a resulting monopoly .

On January 22, 2015, the shareholders approved Dollar Tree's bid. In the course of the takeover, some branches were sold to Dollar Express , but initially continued to operate under the original name.

On March 6, 2019, it was announced that nearly 400 branches across the country would have to close. Family Dollar cited pressure from active investors as the reason.

Individual evidence

  1. ↑ a b Family Dollar will close nearly 400 stores. Retrieved May 10, 2019 .
  2. ↑ a b c Dollar Tree to close Family Dollar HQ, offer relocation to 700 employees. Retrieved May 10, 2019 .
  3. ↑ a b Dollar Tree to buy Family Dollar to stave off competition. Retrieved May 10, 2019 .
  4. ↑ a b Charlotte region loses corporate headquarters in Family Dollar buyout. The Charlotte Observer , accessed May 10, 2019 .
  5. ↑ a b Family Dollar shareholders approve Dollar Tree deal. Reuters , accessed May 10, 2019 .
  6. ^ Family Dollar Stores - North Carolina History Project. Retrieved March 4, 2017 .
  7. ↑ a b History. Family Dollar, accessed May 10, 2019 .
  8. ↑ fdosch13d060614.htm. www.sec.gov, accessed July 18, 2018 .
  9. ↑ Family Dollar - Family Dollar Comments on Icahn Letter. Retrieved May 10, 2019 .
  10. ↑ fdosch13damd10619ex1.htm. www.sec.gov, accessed July 18, 2018 .
  11. ↑ Family Dollar (FDO) Has Large Number of Potential Suitors, Says Goldman Sachs. StreetInsider.com, accessed May 10, 2019 .
  12. ^ Icahn's Sale Urgency Isn't Family Dollar's First Rodeo. Yahoo Finance, accessed May 10, 2019 .
  13. ^ Dollar Tree to buy Family Dollar. WSJ, accessed May 10, 2019 .
  14. ↑ Dollar General offers $ 9.7B for Family Dollar. The USA Today, accessed May 10, 2019 .
  15. ↑ Family Dollar rejects $ 9.7 bn acquisition bid by Dollar General. CharlotteNews.Net , accessed May 10, 2019 .
  16. ^ Dollar Express Chain Sells Out To Competitor Dollar General After 1.5 Years. April 4, 2017. Retrieved December 23, 2017 .

Web links

Commons : Family Dollar  - Collection of Images