Commerce, Calif. -- Discounter 99 Cents Only Stores said Tuesday it has agreed to be acquired by a group of investors including its founding family, Ares Management and Canadian Pension Plan Investment Board for $1.6 billion in cash.
The announcement ends a months-long sales process, which started with a takeover offer from Leonard Green & Partners in March.
The Gold/Schiffer family, which founded the company almost 30 years ago, will roll over its 33% stake into the newly private company. The family members and other existing management will stay on to run the company, which operates 298 stores.
“We have come to know and respect Ares Management and C.P.P.I.B. through this process, and we believe they will be excellent partners and help us achieve our long-term goals as a company,” Eric Schiffer, CEO, 99 Cents, said in a statement.