(Corrects to say Buck Holdings and executives are selling shares.)
Dollar General Corp. declined the most in more than two months after the discount-retail chain said Buck Holdings LP, along with Chief Executive Officer Richard Dreiling and other executives, plans to sell a total of 25 million shares.
Dollar General fell (DG:US) 3.1 percent to $46.98 at 11:16 a.m. in New York, after earlier slumping as much as 4.2 percent for the biggest drop since March 30. The stock had risen 18 percent this year before today.
Buck Holdings, whose membership interests include affiliates of KKR & Co. and Goldman Sachs Group Inc., plan to sell 24.6 million shares, according to a regulatory filing yesterday. Dreiling, who is also Goodlettsville, Tennessee-based Dollar General’s chairman, and other executives, will sell the rest of the total.
The company raised its annual forecast yesterday and said it expects annual profit excluding certain items of as much as $2.78 a share, up from a prior projection of as much as $2.75. That compared to an average analyst estimate of $2.77, according to data compiled by Bloomberg.
In the first quarter, the chain had “excellent same-store sales growth of 6.7 percent, representing the fifth consecutive quarter of accelerating improvement,” Dreiling said in a statement.
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