Family Dollar rejects Dollar General's sweetened offer

Reuters News
Posted: Sep 05, 2014 8:45 AM

(Reuters) - Family Dollar Stores Inc <FDO.N> rejected Dollar General Corp's <DG.N> $9.1 billion sweetened takeover offer, saying it was not reasonably likely to be completed on the terms proposed.

"There is a very real and material risk that the transaction proposed by Dollar General would fail to close, after a lengthy and disruptive review process," Family Dollar Chief Executive Howard Levine said in a statement.

Family Dollar said it would stick with an $8.5 billion cash-and-stock offer from Dollar Tree Inc <DLTR.O>.

(Reporting by Siddharth Cavale in Bangalore; Editing by Sriraj Kalluvila)