BY DAVID BENOIT
A proposed $804 million takeover of Pep Boys-Manny Moe Jack has been sent to the scrap yard, the would-be buyer driven away by dwindling profits at the auto-parts retailer.
Late Tuesday, Pep Boys said Gores Group was walking away from its offer for the Philadelphia-based company. Gores Group will pay Pep Boys a $50 million “breakup fee” and will reimburse other costs, Pep Boys said Tuesday.
The collapse of the deal comes after nearly two years of discussions between Pep Boys and several interested parties, including Gores Group, according to regulatory filings.
The news sent Pep Boys shares tumbling …
- SeaWorld’s 26M-Share IPO Prices at $27 Each, Top of Expected Range
- Facebook stock jumps 4.8% after CEO pledges not to sell
- Office Depot agrees to buy OfficeMax in stock deal worth about $1.2 billion
- US HOT STOCKS: American Woodmark, Daktronics, SuperMedia, Urban Outfitters
- AMR creditors prefer all-stock merger with US Airways: sources