NEW YORK (TheStreet) -- Dollar Tree (DLTR) shares are up 0.4% to $69.95 in early market trading on Friday after the discount consumer goods retailer said that it expects the FTC to require the company to divest only a "small number" of stores in order to complete its proposed $8.5 billion takeover of rival Family Dollar (FDO) .
Dollar Tree's announcement raises the likelihood of the completion of the company's bid for Family Dollar even as rival Dollar General (DG) also continues to pursue it's unsolicited $9.1 billion bid for Family Dollar.
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"Given the relatively small number of divestitures our transaction implicates, Dollar Tree does not expect any such divestiture to have a material impact on its plans for the combined organization," the company said.
Dollar Tree expects to secure financing for the merger by January, with a possible completion of the deal by February.
TheStreet Ratings team rates DOLLAR TREE INC as a Buy with a ratings score of A-. TheStreet Ratings Team has this to say about their recommendation:
"We rate DOLLAR TREE INC (DLTR) a BUY. This is based on the convergence of positive investment measures, which should help this stock outperform the majority of stocks that we rate. The company's strengths can be seen in multiple areas, such as its revenue growth, solid stock price performance, growth in earnings per share, increase in net income and largely solid financial position with reasonable debt levels by most measures. We feel these strengths outweigh the fact that the company shows weak operating cash flow."