Activist investor Carl Icahn on Friday disclosed in a schedule 13D SEC filing a 12.1% stake in Pep Boys-Manny Moe & Jack (PBY) and called for a sale of the auto parts and maintenance chain’s retail business to Auto Plus, one of the companies Icahn controls.
Along with the disclosure, Icahn said he will continue to discuss a strategic combination between Philadelphia-based Pep Boys and Auto Plus but could propose alternative deals.
The move may put Icahn, whose net worth has been estimated at as much as $21.7 billion, into competition with tire and auto service company Bridgestone Corp., which agreed in October to buy the Pep Boys retail chain for $15 per share, or about $835 million in aggregate equity value. The tender offer, which commenced in mid-November, is set to expire on January 4.
Shares of Pep Boys surged 8.54% to $17.03 in extended-hours following Icahn’s announcement
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