Brigade Capital Management, Macellum Capital Management, and Arkhouse Management Co. Partner to Acquire Family Dollar

Family Dollar today announced its official separation from Dollar Tree, as a standalone, private company, with a new leadership structure. Under the new, dedicated leadership team and new private equity owners, Brigade Capital Management (“Brigade”), Macellum Capital Management (“Macellum”), and Arkhouse Management Co. (“Arkhouse”), Family Dollar is focused on building a stronger, more agile organization.

Family Dollar will remain headquartered in Chesapeake, Virginia, and will continue its mission to “serve the underserved,” focused on the opportunity to build a ‘new Family Dollar.’ The new dedicated leadership team and backing of new owners are committed to improving the overall business, investing in its people, and deepening its impact in the communities it serves.

“This is a defining moment for Family Dollar — a chance to return to our roots, refocus on our unique strengths, and build a future tailored to the communities we proudly serve," said Duncan MacNaughton, Family Dollar Chairman and CEO. "We're energized by the opportunity to stand on our own and reimagine what value means for families across America.”

The new ownership structure provides Family Dollar with the strategic support and financial resources needed to unlock its full potential. Brigade, Macellum, and Arkhouse bring deep expertise in retail and a shared vision for Family Dollar’s growth.

“We look forward to investing in Family Dollar’s growth as its own enterprise,” said Matt Perkal, Partner at Brigade. “Meeting this moment with renewed focus and new management, we are confident Family Dollar will deliver the quality and value its customers throughout the U.S. want and expect.”

“Family Dollar is entering a new chapter – one that provides an incredible opportunity to invest in what matters most: our people, our stores, our customers, and our future. We are confident that with the strong, new leadership team, combined with a forward-looking strategic plan, we have a truly unique opportunity to reinvigorate the iconic Family Dollar brand,” said Jonathan Duskin, CEO and Partner at Macellum.

“We are building a new Family Dollar, and we are better positioned to empower all our associates and shape a bold, future-focused company,” MacNaughton added.

Transaction Partners

Jefferies LLC is serving as lead financial advisor to Brigade, Macellum and Arkhouse, and RBC Capital Markets is also serving as financial advisor in connection with the acquisition of Family Dollar. Paul, Weiss, Rifkind, Wharton & Garrison LLP is serving as legal advisor in connection with the transaction. Wells Fargo Bank, N.A., RBC Capital Markets, WhiteHawk Capital Partners, and funds managed by Oaktree Capital Management are providing financing for the transaction. Berkeley Research Group LLC, is serving as financial and operational advisor as well as partnering on separation planning and execution.

About Family Dollar

Family Dollar was founded in 1959 in Charlotte, North Carolina with the goal of offering high-quality merchandise at affordable prices. Today, Family Dollar has over 7,500 locations nationwide. Known as the “neighborhood discount stores,” Family Dollar helps families do more for less and save on every trip. Family Dollar is a private, standalone company aimed to serve the underserved in its communities.

About Brigade Capital Management

Brigade Capital Management is a global asset management firm founded in 2006 with over $29 billion in assets under management. Brigade invests through the capital structure of leveraged companies utilizing a disciplined investment process. As an SEC registered investment advisor, Brigade is a leading independent alternative asset manager with a 49-person investment team. The firm is headquartered in New York with a global footprint that includes an office in London.

About Macellum Capital Management

Macellum Capital Management is an investment firm founded in 2009 that invests in undervalued companies that it believes can appreciate significantly in value through changes in strategy, capital allocation and improvements in operations. The firm has substantial experience investing in consumer and retail companies. Macellum’s investment team and advisors work collaboratively with companies and draw upon their extensive strategic and operating experience to assist companies in designing and implementing initiatives to improve long-term performance.

About Arkhouse Management Co.

Arkhouse Management Co. is a New York-based investment firm that takes a private equity approach to investing in the public markets. Arkhouse focuses on M&A strategies to unlock value dislocations created by the mispricing of assets across public and private markets. Arkhouse’s team of professionals consists of real estate and public equity specialists who have closed $25+ billion of transactions.

View source version on businesswire.com: https://www.businesswire.com/news/home/20250707435568/en/

“This is a defining moment for Family Dollar — a chance to return to our roots, refocus on our unique strengths, and build a future tailored to the communities we proudly serve," said Duncan MacNaughton, Family Dollar Chairman and CEO.