MATTHEWS, N.C. — Family Dollar on Thursday said "no thanks" to an active investor's takeover bid.
The discount retailer said the buyout offer of $55 to $60 per share, made by Nelson Peltz's Trian Fund, "undervalued" the company. Family Dollar did, however, strike a deal with Marketing Management to help boost its private-label efforts.
Through this strategic alliance, MMI will help Family Dollar with such private-label issues as sourcing, product development, category analytics, assortment strategy, quality assurance and customer insights.
“Enhancing our private-brand assortment to drive margin improvement and customer loyalty is a key strategic initiative for Family Dollar,” said Don Hamblen, Family Dollar’s SVP customer marketing. “A compelling assortment of private-brand merchandise gives our value-conscious customer more choices at lower prices without lower standards. Our alignment with MMI will help ensure our assortment is focused on quality and value across all our consumables departments.”