© Reuters. FILE PHOTO: Products are seen on display at a Dollar Tree discount store in Garden City, New York, U.S., May 23, 2016. REUTERS/Shannon Stapleton
By Svea Herbst-Bayliss
BOSTON (Reuters) – Dollar Tree (NASDAQ:) said on Sunday it offered to explore a settlement with Mantle Ridge and hand a board seat to a former chief executive of a rival retailer, saying the activist investment firm’s decision to seek control of its board is “unwarrantedly aggressive.”
Dollar Tree is reacting publicly to Mantle Ridge’s decision late on Friday to nominate 11 directors and replace the entire board as well as push the company to hire Richard Dreiling, a former CEO of Dollar General Corp (NYSE:).
The company said it reached out to the investment firm, which owns 5.7% of its common stock, with suggestions on how to overhaul the board. It was ready to add Dreiling as a board member and possibly also as a consultant.
Mantle Ridge would also have been given a say in selecting another board member, Dollar Tree said.
But Mantle Ridge failed to respond to the suggestions, the company said, noting it “never heard back from Mantle Ridge until it received the letter nominating its slate to replace the entire Board.”
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