Dollar Tree To Acquire Family Dollar - Quick Facts

(RTTNews) - Dollar Tree, Inc. (DLTR), and Family Dollar Stores, Inc. (FDO) announced that they have entered into a definitive merger agreement under which Dollar Tree will acquire Family Dollar in a cash and stock transaction. Family Dollar shareholders will receive $74.50 for each share they own, comprised of $59.60 in cash and $14.90 in Dollar Tree stock.

Family Dollar shareholders will own no less than 12.7% and no more than 15.1% of the outstanding common stock of Dollar Tree. The deal is expected to close by early 2015.

Bob Sasser, Dollar Tree's CEO, said: "With the acquisition of Family Dollar Stores, Dollar Tree will become a leading discount retailer in North America, with over 13,000 stores in 48 states and five Canadian Provinces, sales of over $18 billion, and more than 145,000 associates on our team. We will continue to operate under the Dollar Tree, Deals, and Dollar Tree Canada brands, and when this transaction is complete, we will operate under the Family Dollar brand as well."

Dollar Tree estimates the deal to be accretive to cash EPS within the first year post-closing, excluding one-time costs to achieve synergies.