Is The Stock Worthy? – Dollar Tree, (NASDAQ: DLTR)

Dollar Tree, Inc. (DLTR), North America’s leading operator of discount variety stores, recently issued the following statement regarding Starboard Value’s (“Starboard”) declarement of its nomination of directors for election to the Dollar Tree Board at the Company’s 2019 Annual Meeting of shareholders:

“Dollar Tree is focused on ensuring our brands are the premier shopping destination for value and convenience, taking the right actions to solidify our leadership position in value retail and leveraging our resilient business model, disciplined approach, clear customer focus and unique positioning to deliver growth and strengthened performance for the benefit of all stakeholders.

“Dollar Tree is committed to a strong, independent Board, and believes it has the right balance of perspectives and experience to drive improved growth and performance across the company. The Board has added four new independent directors since May 2016, counting most recently last month, and benefits from a broad array of skills and perspectives spanning areas key to our business, counting retail and consumer products, merchandising, planned planning, finance, capital allocation and mergers and acquisitions. Dollar Tree’s Board and management team are continuing to execute on the Company’s strategy and remain focused on delivering long-term value to all shareholders.

“Dollar Tree’s Board and management team welcome constructive input from shareholders about ways to further create value for all Dollar Tree shareholders. While we appreciate Starboard’s investment and will evaluate any suggestions they may have as we would with any shareholder, we note that Starboard’s nominations for a majority of the board were made without seeking any engagement or making any communication to the Company. We look forward to the opportunity to engage with Starboard regarding any suggestions they may have, and we will continue to stay close to our shareholders on matters of importance to them and keep taking actions to drive shareholder value.

“The Board and its Nominating and Corporate Governance Committee will evaluate Starboard’s nominees in the event Starboard determines to proceed with its nominations (counting as to compliance with the Company’s nomination requirements) and make a recommendation in due course that it believes will best serve the interests of the Company and its shareholders.”

The Board will present its recommendation regarding director nominees in Dollar Tree’s definitive proxy statement and other materials, to be filed with the Securities and Exchange Commission and made available to all stockholders eligible to vote at the 2019 Annual Meeting. Details regarding the 2019 Annual Meeting will be declared in due course.

J.P. Morgan Securities LLC is acting as financial advisor and Wachtell, Lipton, Rosen & Katz is acting as legal advisor to Dollar Tree.

Dollar Tree, (NASDAQ: DLTR) was trading -19.04% away from its yearly high level, during the last trading session. The last session’s volume was 2,220,317 compared to its average daily volume of 3.20M shares. The company has its outstanding shares of 237.74M. The Servicesstock showed a change of -1.06% from opening and finally closed at $94.44 by scoring -1.35%.


Leave a Reply

Your email address will not be published. Required fields are marked *