FTC asks Family Dollar for more information on Dollar General bid

Fri Oct 10, 2014 5:54pm EDT
 
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(Reuters) - Dollar-store operator Family Dollar Inc FDO.N said it received a request for additional information from the Federal Trade Commission related to Dollar General Corp's (DG.N: Quote) hostile takeover attempt.

Dollar General, which is vying with rival Dollar Tree (DLTR.O: Quote) to buy Family Dollar, also received a second request from the FTC under U.S. anti-trust regulations, Family Dollar said.

The requests will effectively extend the waiting period imposed under the anti-trust act to 30 days after the companies provide the information the FTC has asked for.

Family Dollar said it would comply with the FTC's request.

In August, Family Dollar rejected a $9 billion buyout offer from Dollar General, opting instead for a smaller cash-and-stock bid of $8.5 billion by Dollar Tree.

The company also spurned Dollar General's sweetened $9.1 billion offer last month, citing anti-trust concerns, prompting Dollar General to directly approach the shareholders of its smaller rival.

(Reporting By Yashaswini Swamynathan in Bangalore; Editing by Simon Jennings)

 
The entrance to the Family Dollar store is seen in Westminster, Colorado is seen March 30, 2011.   REUTERS/Rick Wilking