Exclusive | Icahn to Sell Auto-Service Chain Pep Boys to Mavis for $700 Million

Carl Icahn is selling Pep Boys to Mavis Tire Supply for $700 million, exiting the auto-service chain nearly a decade after acquiring it. The deal, expected to close in the coming months, will transfer all Pep Boys locations to Mavis, a privately held tire and service retailer.

Icahn took Pep Boys private in 2016 for roughly $1 billion, including debt assumption. The $700 million sale price marks a significant markdown from that original investment, reflecting challenges in the auto-service sector and broader retail headwinds. Mavis, backed by private equity, has been expanding its national footprint through acquisitions.

The transaction underscores Icahn's continued portfolio reshuffling as the activist investor unwinds positions in certain retail and industrial assets. Pep Boys operates hundreds of service centers across the U.S., competing with chains like Monro and AAP (Advance Auto Parts) in the fragmented aftermarket services space.