NEW YORK (CNNMoney) -- Family Dollar has rejected a nearly $10 billion buyout bid from Dollar General, saying it's sticking with an agreement to merge with Dollar Tree for less money.
Family Dollar said in a statement that its board rejected the Dollar General bid "on the basis of antitrust regulatory considerations."
The Dollar General bid, at $78.50 per Family Dollar share, topped the offer from Dollar Tree of $74.50 per share, or about $8.5 billion.
Also, Dollar General offered all cash, as opposed to Dollar Tree's offer combo of cash and stock.
Family Dollar CEO Howard Levine said that the board's decision was unanimous and reaffirmed support for its pending merger with Dollar Tree.
A spokeswomen for Dollar General declined comment. The company's stock dipped on the news.
All three of the chains specialize in low-cost consumers goods.
Dollar General calls itself the largest discount retailer in the U.S., with more than 11,000 stores in 40 states.
™ & © 2014 Cable News Network, Inc., a Time Warner Company. All rights reserved.
Invasive orchid taking over landscapes
Orchids are causing quite a stir because they're showing up where they shouldn't be.
WPTV spots roaches at WPB restaurant
WPTV cameras spotted roaches inside a restaurant recently closed for the pest problem. See why the doors stayed open this time.
Home break-ins during termite treatment
Tenting your home for termites is unlike any other service at your home. You have to hand over the keys and leave for several days. When you…