Pep Boys Shares Rally As Icahn Increases Takeover Bid

Pep Boys shares jumped in the extended session Monday after billionaire investor Carl Icahn increased his offer for the auto parts and services retailer. Pep Boys shares rose 6.2% to $18.48. In a filing with the Securities and Exchange Commission, Pep Boys said Icahn offered $18.50 a share for the company. On Thursday, Pep Boys turned down Icahn's offer of $16.50 a share in favor of Bridgestone Corp.'s $17 a share offer. Pep Boys said that Icahn "could be willing to bid in excess of $18.50" a share, but not if Bridgestone's termination fee is raised.