Family Dollar Says State Attorneys General To Investigate Dollar General Bid

(RTTNews) - Discount retailer Family Dollar Stores, Inc. (FDO) said certain state attorneys general have notified the company that they will be probing the competitive issues regarding the takeover bid from Dollar General.

Earlier this month, Family Dollar rejected the improved bid from Dollar General Corp. (DG) for $80 per share, citing antitrust issues, and instead confirmed its recommendation for the lower bid from Dollar Tree (DLTR).

As part of the takeover, Dollar General said it would be willing to divest up to 1,500 stores, and pay Family Dollar a $500 million reverse break-up fee if the agreement did not close due to antitrust issues.