Dollar General (DG) Gives Back Yesterdays' Gains As Takeover Speculation Abates

Shares of Dollar General Corp. (NYSE: DG) are 4.5% lower this morning as this morning's restructuring news reduces the probability of a takeover of the company in the near term. Yesterday, an analyst from MergerMarkets on CNBC said a least two private equity firms were aggressively pursuing company. The stock rose 5.2% yesterday on the speculation.

Reports Private Equity Firms Pursuing Dollar General

On CNBC, MergerMarket analyst Josh Kosman said private equity firms Bain Capital and Cerberus Capital are aggressively pursuing Dollar General Corp. (NYSE: DG). Kosman said it is not clear if Dollar General is talking with the interested parties.

Rumors of a Dollar General buyout surfaced last week.

Dollar General is a Fortune 500 discount retailer with more than 8,000 neighborhood stores. Dollar General stores offer convenience and value to customers by offering consumable basic items that are frequently used and replenished, such as food, snacks, health and beauty aids and cleaning supplies, as well as a selection of basic apparel, housewares and seasonal items.

Dollar General (DG) Higher on Takeover Talk

The move in Dollar General Corp. (NYSE: DG) is being attributed to LBO talk. Stock up 6%