On March 26, 2025, Dollarama Inc. (TSX: DOL) announced its acquisition of The Reject Shop Limited (ASX: TRS), Australia's largest discount retailer, for A$6.68 per ordinary share (C$6.01). The transaction values The Reject Shop’s ordinary share capital at approximately A$259 million (C$233 million) and implies an enterprise value of A$421 million (C$379 million) on a post-AASB 16 basis. The cash consideration represents a 108% premium to The Reject Shop's 20-day volume-weighted average price.

The acquisition will be implemented via an Australian scheme of arrangement, subject to shareholder and regulatory approvals. The Reject Shop Board unanimously recommended shareholder approval, and Kin Group, the largest shareholder with a 20.8% stake, has expressed support for the deal. The transaction is expected to close in the second half of 2025.

Dollarama plans to leverage its retail, merchandising, and operational expertise to expand The Reject Shop’s network from over 390 locations to approximately 700 stores by 2034. The purchase will be funded through cash on hand and available liquidities under Dollarama's revolving credit facility.

National Bank Financial Inc. acted as financial advisor to Dollarama. UBS Securities Australia acted as financial advisor to The Reject Shop, and SBA Law served as its legal advisor.