Pep Boys Might Be Selling Shop: Report - NBC 10 Philadelphia

Pep Boys Might Be Selling Shop: Report

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    Pep Boys Might Be Selling Shop: Report
    Pep Boys

    The car parts company with 90-year-old roots in Philadelphia contemplating a sale, Bloomberg reported.

    According to company insiders, Pep Boys has been in talks with Bank of America to explore the option of transferring the company.

    After four years of losses, Pep Boys turned in a strong 2010.  Profits rose by 36% in the first nine months of last year, and the firm hauled in earnings of $23 million.

    Now the company with 600 stores in trying to capitalize on its success, by courting private equity firms, Bloomberg said.  Leonard Green and Partners LP, Bain Capital LLC, and TPG Capital are all speculated buyers.

    Neither Pep Boys nor Bank of America commented on the sale rumors.  However, news of the possible trade sent stock prices climbing, up 15% on Friday.  Pep Boy's market value is now calculated at $743 million.