Family Dollar (NYSE:FDO) stockholders voted in favor of a merger with Dollar Tree (NASDAQ:DLTR) stores.
About 84 million shares were voted in favor of the proposal, 74 percent of the total outstanding and 89 percent of the total shares voted.
"We are pleased with the outcome of today's vote, and I want to thank Family Dollar stockholders for their support throughout this process," said Howard Levine, chairman and CEO of Family Dollar. "The Family Dollar board of directors and management team have worked diligently to advance the best interests of all of the company's stockholders, and we are grateful for the support we received for the merger proposal."
The merger still remains subject to approval by the Federal Trade Commission. The companies have agreed to provide the FTC with four weeks notice prior to closing.
This brings Dollar General's (NYSE:DG) long quest to acquire Family Dollar to an end. Family Dollar had been urging shareholders to approve the $8.5 billion takeover deal from Dollar Tree over Dollar General's unsolicited $9.1 billion bid. Eventually, Dollar General took its offer directly to Family Dollar shareholders, but this also did little to change the standings. The board stated that the offer, as with the first bid made on Sept. 2, was rejected based on antitrust regulatory considerations.
Dollar Tree issued a statement of comment on the vote. "Today's vote of approval by Family Dollar shareholders represents a crucial step toward combining Dollar Tree, North America's leading fixed-price point discount retailer, with Family Dollar, a leading multi-price point retailer with a 50 plus year history of serving low and middle income customers," stated Bob Sasser, Dollar Tree's CEO. "By adding Family Dollar to our portfolio of brands, Dollar Tree will soon operate more than 13,000 stores in 48 states and five Canadian provinces with annual sales exceeding $18 billion. This merger enhances our geographic footprint and diversifies our business model. We intend to operate and grow both banners."
-See this Family Dollar press release
-See this Dollar Tree press release
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