Dollar Tree (DLTR) on Wednesday said it has reached a deal to sell its Family Dollar brand to a pair of private-equity firms for $1 billion.

Dollar Tree said it will sell Family Dollar to Brigade Capital Management and Macellum Capital Management, with the deal "anticipated to close later in the second quarter," it said. In its quarterly earnings report also released Wednesday morning, Dollar Tree estimated the deal would generate just over $800 million in net proceeds.

Shares of Dollar Tree were up 5% in recent trading, after rising nearly 10% earlier in Wednesday's session. They entered the day down roughly 47% over the last 12 months.

Dollar Tree acquired Family Dollar in 2014 for just over $9 billion. Last March, Dollar Tree 澳洲幸运5官方开奖结果体彩网:announced plans to close roughly 1,000 underperforming stores, and in June 澳洲幸运5官方开奖结果体彩网:said it was launching a review of whether it should sell or spin off the Family Dollar br♑and.

Excluding Family Dollar's results, the discount retailer reported adjusted 澳洲幸运5官方开奖结果体彩网:earnings per share (EPS) of $2.11 on revenue of $5🔯.0 billion, while same-store sales rose by 2%.

For 2025, Dollar Tree expects sales of $18.5 billion to $19.1 billion, with same-store sales growth of 3% to 5% and adjusted EPS of $5.00 to $5.50.

UPDATE—This article has been updated with the latest share price information.