Pep Boys sold to private equity group

Manny, Moe and Jack are going private after Gores Group, a Los Angeles equity fund, agreed to buy the 91-year-old Pep Boys for $791 million, or $15 a share. The company's stock soared $2.85 a share to close at $14.93 once the deal was announced. It values the company at about $1 billion. Some analysts suggested Pep Boys, which had annual sales of $2.1 billion, was worth $17 a share. The chain of 700 auto repair and parts stores has seven bay area locations. The company expects current management to remain.

Times staff