Dive Brief:
- Dollar Tree says it could need to divest around 250 stores to round out its Family Dollar acquisition, a smaller number than forecasted, says Supermarket News.
- The pending merger was approved in January.
- The company is projecting the FTC will finish its potential divestiture review soon, wanting the merger to be done in April.
Dive Insight:
"While we still need to hear more from the Dollar Tree management team on its Family Dollar turnaround strategy, we expect the company will soon outline a detailed game plan on how it will look to integrate the two chains and, more importantly, improve the sales productivity and profitability of Family Dollar," says a Sterne Agee, New York, analyst, Chuck Grom.
Dollar Tree recently reported earnings, where it revealed the anticipated merger date of April 27.