Boston, MA 08/22/2014 (wallstreetpr) – The proposed acquisition between Dollar General Corp. (NYSE:DG) and Family Dollar Stores, Inc.(NYSE:FDO) has gathered attention of numerous people from across the world. DG has issued a statement in regard with this acquisition transaction which consists of a few very important points.
What’s in that statement:
It’s not very long when FDO raised a few questions on the proposed acquisition agreement on the basis of inputs given by its legal as well as financial advisors. The company announced that Dollar General Corp. (NYSE:DG) failed to fulfill all the requirements that were stated in the agreement; as a result, the proposed acquisition between these two retail players couldn’t be executed. Family Dollar Stores, Inc. (NYSE:FDO) didn’t even tried to sort out the matter with DG that surprised all the market experts, as well as shareholders of both the companies.
Everyone was waiting for DG management to say something about this issue, and finally, the company has decided to do so. The Chairman and Chief Executive Officer of DG, Rick Dreiling told the reporters that the entire management of Dollar General Corp. (NYSE:DG) was very disappointed. The main reason of this appointment was the way Family Dollar Stores, Inc. (NYSE:FDO) board of directors concluded their report that DG’s proposal did not comply with the minimum T&C that they decided for the agreement. Dreiling also pointed out that his company did extensive research with the help of top notched analysts and experts and was confident about the quality of the proposal.
According to reports, FDO raised antitrust issues and rejected the proposal of Dollar General Corp. (NYSE:DG) immediately. The management of DG is ready to share the complete research report with Family Dollar Stores, Inc. (NYSE:FDO) and hope that the matter will be resolved at earliest. Mr. Dreilling is hopeful that all-cash proposals of Dollar General Corp. (NYSE:DG) couple with the antitrust issues are superior in relation with the minimum requirements of the current agreement transaction. He is expecting to resolve this issue as early as possible so that the company can focus on other aspects as well.