Family Dollar said Dollar General’s conditional tender offer is illusory as it cannot be close on the terms proposed. “Tenders into the Dollar General offer will be meaningless since there is no way that Dollar General can purchase shares that are tendered,” explained Family Dollar Chairman/CEO Howard Levine.
Family Dollar rejected Dollar General’s $80 a share offer based on antitrust regulatory considerations earlier this month.
In addition, Family Dollar’s board reaffirmed its support of the pending $74.50 a share agreement with Dollar Tree.
Dollar General, meanwhile, said it remains committed to acquiring Family Dollar, adding that its offer would add “superior value” to the rival’s shareholders, and is capable of being completed on the terms proposed.
“Family Dollar continues to make statements that are not worthy of debate,” said Dollar General Chairman/CEO Rick Dreiling.
“Rather than engaging with us in a meaningful and constructive manner, the Family Dollar Board has continued its efforts to distract shareholders from the main issue at hand — that a superior proposal adequately addressing antitrust issues remains on the table.”