Nashville, Tenn. — Nashville-based Bridgestone Americas Inc. has announced that Pep Boys and Bridgestone Retail Operations LLC (BSRO), a wholly owned subsidiary of Bridgestone, have entered into a definitive merger agreement under which BSRO will acquire Pep Boys in an all-cash transaction for $15 per share, or approximately $835 million in aggregate equity value.
Pep Boys will add approximately 800 locations to BSRO’s nationwide network of 2,200 tire and automotive service centers, which operate under the Firestone Complete Auto Care, Tire Plus, Hibdon Tires Plus and Wheel Works brand banners. The acquisition represents an immediate nationwide expansion of more than 35 percent for BSRO.
The transaction is expected to close in the beginning of 2016. Pep Boys’ stock will no longer trade on the New York Stock Exchange. J.P Morgan Securities LLC is acting as financial advisor and Jones Day is acting as legal advisor to Bridgestone. Rothschild is acting as financial advisor and Morgan, Lewis & Bockius LLP is acting as legal advisor to Pep Boys.