Deals

Icahn to Buy Federal-Mogul, Take Auto-Parts Supplier Private

Increased bid allows integration with Pep Boys, Auto Plus
Move comes hours after VW joined him in holding Navistar

Carl Icahn
Photographer: Victor J. Blue/Bloomberg

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By Jamie Butters and John Lippert

September 6, 2016 at 4:02 PM UTC

Updated on

September 6, 2016 at 5:38 PM UTC

This article is for subscribers only.

Federal-Mogul Holdings Corp. agreed to a sweetened bid from billionaire investor Carl Icahn to buy the remaining shares of the maker of Champion spark plugs, as he seeks to unify companies that manufacture and retail auto parts.

The offer announced Tuesday, at $9.25 a share, is 86 percent more than Southfield, Michigan-based Federal-Mogul’s close of $4.98 on Feb. 26, the last trading day before Icahn Enterprises’ original proposal of $7. The investor, who already holds almost 82 percent of the stock, increased his proposal to $8 in June.