Pep Boys agrees to be acquired for about $791M

Auto parts chain The Pep Boys — Manny, Moe & Jack says it has agreed to be taken private by investment firm The Gores Group for about $791 million.

The $15 per share offer is a 24 percent premium to Pep Boys' closing price Friday of $12.08.

Pep Boys stock surged $3.17, or 26.2 percent, to $15.25 in premarket trading Monday.

The agreement includes a provision, which allows Pep Boys to seek out and receive alternative offers for a period of 45 days.

Gores Group says it has fully committed financing for the buyout. The deal is not subject to a financing condition.

Pep Boys' board unanimously approved the transaction, which is expected to close in the fiscal second quarter.

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