Dollarama buys controlling interest in Dollarcity
Dollarama lands a 50.1% controlling interest in Latin American value retailer Dollarcity. The estimated purchase price for the stake is $85M to $95M, including an upfront payment of $40M at closing. The Dollarcity Board of Directors will be composed of five directors, three Dollarama reps and two reps of the Dollarcity founding group "With this transaction, which is expected to be immediately accretive to our earnings, Dollarama is establishing a compelling second growth platform, in complement to our Canadian growth strategy," says Dollarama CEO Neil Rossy.