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.
Patients struggle as doctors drop insurance plan
The Consumer Watchdog looks into an insurance plan where the doctors listed online are no longer taking the plan.
Florida Blue patients struggle to get care
A trip to the doctor is becoming a headache for some "myBlue" customers who bought Affordable Care Act policies and can't find…
Uber & Lyft get permanent deal in Palm Beach Co.
The ordinance passed 5-1.