Pep Boys is expanding, not even a year after officially being acquired by Icahn Enterprises.
The U.S.-wide automotive aftermarket chain announced the purchase of Just Brakes, a privately-owned automotive repair and maintenance chain. The acquisition brings the number of Pep Boys auto service locations to over 900 locations, the company said in a news release.
“We are thrilled to celebrate this major milestone in the growth of our combined organization,” Pep Boys president and chief executive officer Brent Windom said in the announcement. “Adding to our portfolio over 130 stores in strategic locations allows us to strengthen our presence in target markets, including Dallas and Atlanta.”
Just Brakes, which opened in 1980 as a single location in Bryan, Tex., has 134 locations in eight states. Its former CEO will be Pep Boys’ president of service, Windom added. “We look forward to working together to leverage the combined strengths of our companies, including our joint focus on taking care of customers, as we convert all Just Brakes locations into Pep Boys Service & Tire Centers, offering a full range of services, such as oil changes, tire installations, brake repair and suspension work.”
Ihnken commented in the release that the announcement was “exciting … for the Just Brakes team.” He added that “this conversion will afford growth opportunities to our employees and help our stores thrive while keeping our focus on providing customers the best experience and value.”
It’s another move for Icahn Enterprises, which has grown in the automotive aftermarket world in recent years. On Jan. 24, the company announced it had completed its acquisition of Federal-Mogul Holdings Corp. It’s an all-cash transaction for $10 per share. “As a result of the completion of the merger, the common stock of Federal-Mogul will no longer be listed for trading on the NASDAQ Global Select Market or any other exchange,” Icahn said in a new release.
The announcement also noted that “Federal-Mogul will continue to operate through its separate Powertrain and Motorparts segments, each with its own Chief Executive Officer reporting to the board of directors of Federal-Mogul.”
While a wholly-owned subsidiary of Ichan, Federal-Mogul, which was founded in 1899, “will not merge or be combined with any other operating subsidiary of Icahn Enterprises,” the release said. “Federal-Mogul will continue to be governed by a board of directors and audit committee including independent directors and will continue to prepare separate, audited financial statements, which will be reflected in Icahn Enterprises’ financial results.”
In February 2015, Icahn purchased the U.S. arm of Uni-Select. The acquisitions created an end-to-end supply chain for Icahn.
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