Bidding war could ensue over Family Dollar

by The City Wire staff ([email protected]) 149 views 

After passing once on a chance to buy rival Family Dollar, Bloomberg reports that Dollar General is working with an advisor to evaluate its option about a counter bid to Dollar Tree’s $8.5 billion offer.

Family Dollar last week agreed to be acquired by Dollar Tree after investors pushed for the sale.

Wall Street analysts previously said Dollar General had no interest at this time given the planned retirement of CEO Rick Dreiling. But two people close to the situation told Bloomberg that if Dollar General does make an offer there’s a good chance Dreiling would stay on through 2015 to oversee the merger.

At this time those sources put the chance of a bid at 50%.