CHARLOTTE, NC (Katherine Peralta/The Charlotte Obs - Virginia-based Dollar Tree said Monday it has completed its sale of 330 Family Dollar stores to Dollar Express, a discount chain of stores owned by private equity group Sycamore Partners.
The divestiture was one of the final steps needed to allow Dollar Tree to complete its $8.5 billion purchase of Matthews-based Family Dollar in July. The Federal Trade Commission required Dollar Tree to sell the Family Dollar stores across 35 states to address regulators' antitrust concerns.
The divested stores will operated under the Dollar Express banner. Sycamore Partners has offered few details about the new concept.
"We believe our significant experience with carve-out transactions will be beneficial in supporting the Dollar Express team to serve our loyal customers and create value," said Peter Morrow, a managing director at Sycamore Partners, in a statement.
Two Charlotte Family Dollar stores will be converted into Dollar Express stores. One store is at 1437 E. Sugar Creek Road, near Eastway Drive in east Charlotte, just over a mile from a Dollar Tree store on The Plaza. The other is at 5300 South Blvd., near Tyvola Road and less than a quarter mile from the Dollar Tree store on South Boulevard.
The two Charlotte stores are the only two in North Carolina that will be converted into Dollar Express stores. Analysts have said store employees likely will keep their jobs after the switch.