Dollar Tree and US Foods have recently announced plans to explore divestment options for their respective portfolio brands, Family Dollar and Chef’Store. Dollar Tree is considering strategic alternatives for its Family Dollar business, including a potential sale, spin-off, or other disposition. This move is part of Dollar Tree’s ongoing efforts to maximize the potential of the company, with a focus on enhancing investments in profitable Family Dollar stores.

According to Rick Dreiling, chairman and CEO of Dollar Tree, the company has already made progress in streamlining the Family Dollar banner by closing underperforming stores and redirecting resources towards long-term growth opportunities. In addition to the Family Dollar review, Dollar Tree aims to expand its core Dollar Tree banner through new store openings, diversified pricing strategies, and recent acquisitions such as 170 leases of 99 Cents Only stores in several states.

Similarly, US Foods announced plans to explore strategic alternatives for its Chef’Store business during its 2024 Investor Day. The company believes that Chef’Store would benefit from focused investment under new ownership due to a lack of synergy with its current portfolio. Despite the divestment considerations, US Foods intends to open five new Chef’Store locations in 2024, expanding the chain’s presence across multiple states.

Both Dollar Tree and US Foods are committed to supporting their respective brands, associates, and customers throughout the divestment process. These strategic reviews reflect the companies’ efforts to optimize their portfolios and drive growth in line with evolving market dynamics.