Icahn Really Wants Pep Boys, and Will Pay Up to $18.10 a Share

Dec. 23, 2015

Apparently, all Carl Icahn really wants for Christmas is to own Pep Boys — Manny, Moe & Jack. His Icahn Enterprises L.P. has upped its offer once again.

According to U.S. Securities and Exchange Commission filings, on Dec. 22 Icahn amended the offer he presented Dec. 18, which included a $16.50 per share price. Here's the latest offer:

"Icahn Enterprises will pay the greater of (a) $16.50 per share and (b) $0.10 more per share than any increased bona fide bid for the Issuer offered by Bridgestone Retail Operations LLC, up to a maximum of $18.10 per share."

The updated offer resets the clock, and gives Bridgestone until 5 p.m. on Dec. 24 to increase its bid for Pep Boys. (That's when the Pep Boys board is set to meet again.) But to keep the contest going, Bridgestone would have to offer more than Icahn's maximum of $18.10 per share.

In a press release on Dec. 23 Pep Boys says its board already has determined that this latest offer from Icahn is "superior" to Bridgestone's last bid of $15.50.