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Dollar Tree selling Family Dollar to a pair of private equity firms for $1 billion
Dollar Tree is selling Family Dollar to Brigade Capital Management and Macellum Capital Management for $1 billion, ending its efforts to integrate the chain.
The sale will allow Dollar Tree to focus on its core business, according to CEO Mike Creedon, who emphasized the need for long-term growth.
Dollar Tree purchased Family Dollar in 2015 for over $8 billion and has faced ongoing operational challenges since then.
As many Family Dollar stores close under new ownership, access to affordable goods may become harder for lower-income families, said Marshal Cohen from Circana.