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Trump Advisor Carl Icahn Wants to Dominate the Auto Parts Business

The New York Times 2015 DealBook ConferenceThe New York Times 2015 DealBook Conference
Billionaire Investor Carl IcahnPhotograph by Neilson Barnard — Getty Images for New York Times

Billionaire Carl Icahn’s investment firm, Icahn Enterprises (IEP), sweetened its offer for a third time to buy shares of Federal-Mogul Holdings it does not already own.

The latest offer of $10 per share represents a discount of 3% to Federal-Mogul’s Friday close but is double the closing price on Feb. 26, the day before Icahn made his first offer of $7 a share.

Federal-Mogul’s shares were down 2.7% at $10.03 on Tuesday.

Icahn Enterprises raised the offer for the first time to $8 per share in June and to $9.25 per share in September.

The latest offer comes after Icahn failed to get enough Federal-Mogul stock owners to tender their shares in favor of the deal.

Icahn Enterprises, which owns about 82% of the auto parts maker, said the $10 per share offer was its “best and final” price.

The investment firm will pay about $304.3 million for the 18% stake under the latest offer, according to Reuters calculations.