Dollar Tree Sells Family Dollar to Private Equity: Bad News for Food Deserts
Dollar Tree is selling Family Dollar to Brigade Capital Management and Macellum Capital Management for $1 billion, ending a decade-long struggle to integrate the discount retailer. The sale follows years of operational challenges, including supply chain issues and underperforming store locations, ultimately hindering Dollar Tree’s profitability. This divestiture allows Dollar Tree to refocus on its core brand amidst tightening consumer spending and increased competition within the discount retail sector. The new owners plan to address Family Dollar’s pricing and customer loyalty issues. The sale is anticipated to conclude in the second quarter.
John Q. Hosedrinker