Latest news with #BrigadeCapital
Daily Mail
08-07-2025
- Business
- Daily Mail
Fears for mass closures as dollar store sold off after failed partnership
Family Dollar is going it alone. The discount chain, which merged with Dollar Tree in 2015 after a $9 billion sale, has now been sold to two private equity firms. Ink dried on the $1 billion deal late Monday night. Brigade Capital Management and Macellum Capital Management will take over operations for the chain's 7,000-store portfolio. Shoppers have expressed concern that the private equity takeover could lead to a wave of closures. Family Dollar shuttered hundreds of stores just last year. 'A lot of them will be closing soon,' one customer worried on Reddit. 'It will probably take two to three years.' But experts are pouring cold water on predictions of mass closures in the immediate future. 'Quite a number of Family Dollar stores have already been earmarked for closure, so we're unlikely to see loads more shut in the near term,' Neil Saunders, a retail analyst at GlobalData, told 'However, the new owners will review the state of the business and might optimize the store network further.' The sale ends a decade-long relationship between Dollar Tree and Family Dollar — one that Saunders said never quite worked. 'The acquisition of Family Dollar was not successful for Dollar Tree,' Saunders said. 'Despite pumping money into it, they never managed to make the chain work.' On paper, the brands seemed like a perfect fit. Family Dollar stores are mostly located in major cities and stock groceries, cleaning supplies, and other low-cost essentials. Dollar Tree stores tend to cater to middle-income communities with affordable crafts, party goods, and seasonal decorations. The idea was that each chain would complement the other, giving the combined company greater scale and pricing power. The two even launched hundreds of combo stores blending their product mixes. Last year, Family Dollar closed close to 700 stores as it attempted to claw back profitability Instead, Family Dollar became a drag on profits. It's stores have been plagued by shrinking sales, shoplifting, and aging product lineups. It also failed to keep pace with rising competition from digital-first retailers like Temu, Shein, and Amazon — and even legacy giants like Walmart. In 2024, nearly 700 Family Dollar stores were permanently shuttered in a last-ditch effort to salvage the merger. Now, Dollar Tree's leadership appears relieved to be moving on. 'The completion of this transaction marks a defining moment for Dollar Tree,' Mike Creedon, Dollar Tree's top boss, said.
Globe and Mail
07-07-2025
- Business
- Globe and Mail
Dollar Tree Completes Sale of Family Dollar Business to Brigade Capital Management and Macellum Capital Management
Dollar Tree, Inc. (NASDAQ: DLTR) (the 'Company') today announced the completion of the previously announced sale of its Family Dollar business segment to Brigade Capital Management, LP ('Brigade') and Macellum Capital Management, LLC ('Macellum') for an aggregate base purchase price of $1,007.5 million in cash, subject to certain adjustments. Net proceeds from the sale are estimated to total approximately $800 million comprised of $665 million paid at closing and approximately $135 million as a result of the monetization of cash prior to closing through a reduction of net working capital. The Company now expects the economic impact of tax benefits from losses on the sale to be approximately $375 million. These amounts are subject to final adjustment approximately 90 days after the closing date. 'The completion of this transaction marks a defining moment for Dollar Tree,' said Mike Creedon, Chief Executive Officer of Dollar Tree, Inc. 'With a singular focus on our core business, we are doubling down on what we do best – delivering value, convenience, and discovery to our customers every day. Now more than ever before, we are poised to accelerate our growth, innovate faster, and unlock our full potential as a category leader in value retail.' As a standalone company, Dollar Tree will continue to grow through compelling initiatives like its expanded assortment, new store growth, and attracting new customers. Since the company's founding nearly 40 years ago, Dollar Tree has grown to a 9,000-strong store footprint, reflecting its strength as one of the most powerful value retailers in North America. As previously disclosed, with the closing of this transaction, Dollar Tree will begin a Transition Services Agreement (TSA). The Company will be reimbursed for the cost of providing these services. The company expects an offsetting reduction to SG&A, resulting from a combination of this reimbursement of TSA expenses and a reduction in headcount expenses because of employees who will now be employed by Family Dollar. The transaction was announced on March 26, 2025, and concludes Dollar Tree's review of strategic alternatives for the Family Dollar business segment, which began in June 2024. J.P. Morgan Securities LLC served as financial advisor and Davis Polk & Wardwell LLP served as legal advisor to Dollar Tree. A WARNING ABOUT FORWARD-LOOKING STATEMENTS: Our press release contains "forward-looking statements" as that term is used in the Private Securities Litigation Reform Act of 1995. Forward-looking statements can be identified by the fact that they address future events, developments or results and do not relate strictly to historical facts. Any statements contained in this press release that are not statements of historical fact may be deemed to be forward-looking statements. Forward-looking statements include, without limitation, statements preceded by, followed by or including words such as: 'believe', 'anticipate', 'expect', 'intend', 'plan', 'view', 'target' or 'estimate', 'may', 'will', 'should', 'predict', 'possible', 'potential', 'continue', 'strategy', and similar expressions. For example, our forward-looking statements include statements relating to our plans and expectations regarding our business, including the impact of various initiatives, growth prospects, and other plans, objectives, expectations (financial and otherwise) and intentions. Our forward-looking statements also include statements and expectations regarding our sale of Family Dollar, the proceeds thereof (which are subject to final adjustment), and the related TSA. The transactions described may disrupt our business operations, be more difficult or costly than expected or fail to achieve the anticipated benefits. These statements are subject to risks and uncertainties. For a discussion of the risks, uncertainties and assumptions that could affect our future events, developments or results, you should carefully review the "Risk Factors," "Business" and "Management's Discussion and Analysis of Financial Condition and Results of Operations" sections in our Annual Report on Form 10-K filed March 26, 2025, our Quarterly Report on Form 10-Q for the most recently ended fiscal quarter and other filings we make from time to time with the Securities and Exchange Commission. We are not obligated to release publicly any revisions to any forward-looking statements contained in this press release to reflect events or circumstances occurring after the date of this report and you should not expect us to do so. About Dollar Tree, Inc. Dollar Tree Inc. (NASDAQ: DLTR), headquartered in Chesapeake, VA, is one of North America's largest and most loved value retailers, known for delivering great value, convenience, and a 'thrill-of-the-hunt' discovery shopping experience. With a team of approximately 150,000 associates, Dollar Tree operates more than 9,000 stores and 18 distribution centers across 48 contiguous states and five Canadian provinces under the brands Dollar Tree and Dollar Tree Canada. The company is committed to being a responsible steward of its business – supporting its people, serving its communities, and creating lasting value. Additional information about Dollar Tree can be found at
Yahoo
03-06-2025
- Business
- Yahoo
/C O R R E C T I O N -- Pavlin Kumchev/
In the news release, New Book "Solving Life" Applies Value Investing Principles to the Ultimate Portfolio: Your Decisions, issued 03-Jun-2025 by Pavlin Kumchev over PR Newswire, information has been removed. The complete, corrected release follows: For everyone: Learn to apply investing wisdom to life's biggest investors: Deepen your edge with fresh insight into value investing and how its principles shape a well-lived life. LONDON, June 3, 2025 /PRNewswire/ -- What if you approached life the way a world-class value investor approaches the market: carefully weighing risk, maximising upside, and building resilience against the unexpected? Solving Life: Mastering Decision Making with Investment Wisdom by Pavlin Kumchev offers a bold framework for navigating life's biggest choices by treating them like a portfolio of high-upside, low-downside bets. Originally conceived as deeply personal advice to his sons, this book evolved into something broader: a legacy of decision-making wisdom anyone can apply. Blending insights from value investing and behavioural science through the lens of lived experience, Solving Life introduces a mindset the author calls the Cheap Options strategy—a structured way to position yourself for upside potential while limiting downside risk. It's a philosophy of thinking clearly under uncertainty: not avoiding risk, but harnessing it. "The best decisions have limited downside and the potential for outsized gains. This is the essence of the Cheap Options strategy," says Kumchev. "Make choices that protect against major losses while keeping you open to life-changing opportunities." Kumchev, a Managing Director at Brigade Capital (a global multi-strategy investment manager), brings 20 years of experience at leading financial institutions, including Morgan Stanley, Blackstone, and Carlyle. His global life journey—spanning continents, markets, and ideologies—informs the book's rare combination of diverse perspectives, analytical clarity, and personal depth. He urges readers to "live backwards," a method inspired by how great investors define their expected returns and work backwards to a decision. In Solving Life, this becomes a way of intentionally shaping one's path by thinking from the future back to the present. Solving Life is not about shortcuts or trendy life advice. It's about building deep, durable motivation by understanding risk, clarifying your values, and making decisions that align with your long-term goals. It's a call to live deliberately and courageously, with resilience as your compass. As Kumchev puts it:"The smartest life strategy? Limit your downside, chase your dreams, and never stop collecting cheap options." AvailabilitySolving Life: Mastering Decision Making with Investment Wisdom is now available at Amazon, and select bookstores. Contact InformationEmail: 395724@ Website: View original content to download multimedia: SOURCE Pavlin Kumchev Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Reuters
19-05-2025
- Business
- Reuters
Dollar Tree reappoints veteran MacNaughton as CEO for spun-off Family Dollar
May 19 (Reuters) - Dollar Tree (DLTR.O), opens new tab on Monday named retail industry veteran Duncan MacNaughton as the chief executive officer of the Family Dollar chain, which is in the process of being bought by a group of private-equity investors for about $1 billion. MacNaughton, who served as the finance chief at Family Dollar until 2019 and has held positions at Walmart, will take over the role after the sale to Brigade Capital Management and Macellum Capital Management is completed around the second quarter of 2025, Dollar Tree said. Family Dollar, spun off in March after a year-long search for buyers, faced stiff competition for cheaper goods from big-box outlets as well as online retailers. Dollar Tree had outbid rival Dollar General to buy the discount store chain for about $9 billion in 2015.
