Who are the owners of Family Dollar? This question has intrigued many as Family Dollar, a well-known discount store chain in the United States, has seen several changes in ownership over the years. Understanding the current and past owners of Family Dollar can provide insight into the company’s history, strategic decisions, and future prospects.
Family Dollar was founded in 1959 by Leon Levine, who started the business with just one store in Charlotte, North Carolina. Initially, the store was named “Family Thrift,” but it was later renamed “Family Dollar” in 1968. Under Levine’s leadership, the company grew rapidly, expanding to over 7,000 stores across the United States by the early 2000s.
In 2006, Family Dollar was acquired by Dollar Tree, another discount retailer, in a merger valued at approximately $2.1 billion. The merger was seen as a strategic move to strengthen the market position of both companies and create a larger discount store chain. Leon Levine, as the founder and majority shareholder of Family Dollar, became the largest shareholder in the combined company, Dollar Tree Inc.
Following the merger, Dollar Tree Inc. continued to operate Family Dollar as a separate brand, while also leveraging the synergies between the two companies. In 2015, Dollar Tree Inc. announced that it would be acquiring Family Dollar’s rival, Dollar General, in a deal valued at $8.5 billion. This acquisition further solidified Dollar Tree Inc.’s position as the leading discount retailer in the United States.
However, in 2017, Dollar Tree Inc. decided to reverse the acquisition and spun off Family Dollar as a separate, publicly-traded company. The spin-off was completed in 2018, with Family Dollar trading on the New York Stock Exchange under the ticker symbol FDO. This move allowed Family Dollar to operate independently and focus on its growth strategy.
Since the spin-off, several private equity firms have been involved in Family Dollar’s ownership. In 2019, Family Dollar was acquired by a consortium of private equity firms, including KKR & Co., TPG Capital, and Leonard Green & Partners. This group purchased Family Dollar for approximately $8.5 billion, which was the same amount as the initial acquisition by Dollar Tree Inc.
The current ownership of Family Dollar is a testament to the company’s resilience and adaptability in the retail industry. With a strong foundation laid by its founder, Leon Levine, and strategic decisions made by its various owners, Family Dollar continues to be a significant player in the discount retail market. As the company moves forward, it remains to be seen how the new ownership will shape its future and drive its growth in the competitive retail landscape.
