Dive Brief:
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Dollar General, which previously considered buying Family Dollar but passed on the idea, is now working with advisors about possibly making an offer. Sources told Bloomberg that chances of an offer by Dollar General are 50/50.
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A $8.5 billion takeover of Family Dollar by Dollar Tree is pending, and an offer by Dollar General could put that in doubt.
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Meanwhile, a Family Dollar investor has filed a lawsuit to challenge the Dollar Tree merger, saying that the deal shortchanges investors.
Dive Insight:
Moves by a disgruntled investor and possible moves by a rival dollar store chain are bumps in the road toward what is likely an inevitable consolidation of dollar stores.