Why consumers don't feel confident about the economy right now Dollar Tree on Wednesday said it is selling Family Dollar for $1 billion to a pair of private equity firms, a decade after it bought ...

Dollar Tree announced on Wednesday that it has agreed to sell its Family Dollar division to a group of private equity firms in a deal valued at approximately $1 billion.

Dollar Tree is ending its short-lived and ill-fated Family Dollar experiment, offloading the discount brand for $1 billion – just a fraction of its purchase price from a decade ago.

Dollar Tree is selling its Family Dollar business to private equity firms for about $1 billion, a fraction of its 2015 acquisition cost, as the brand struggled to drive traffic.

Dollar Tree reported net sales of $5 billion – excluding sales from Family Dollar stores – a 2% increase in same-store sales during the three-month period ending Feb. 1, 2025.

Dollar Tree purchased Family Dollar in 2015 for about $9 billion, hoping the merger would help both stores reach more customers. But it struggled to effectively manage the Family Dollar brand.

As of Feb. 1, 2025, Dollar Tree operated a total of 16,500 Dollar Tree and Family Dollar stores across 48 states and five Canadian provinces, the company said.

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