Icahn Enteprises L.P. IEP, -0.60% the investing arm of billionaire investor Carl Icahn, said Tuesday it has reached an agreement to sell its Federal-Mogul LLC unit to Tenneco Inc. for $5.4 billion. Tenneco will pay $800 million in cash and 29.5 million shares of its common stock, of which 23.8 million shares will be non-voting shares that convert to voting shares as soon as they are sold. Tenneco will be restricted in how much stock can be sold within the first 150 days after the closing. Manufacturing company Tenneco will split Federal-Mogul into its two businesses which will be spun off as listed entities. Federal-Mogul operates an original equipment powertrain components division and sells a portfolio of products in the vehicle after-market. The deal is expected to close in the second half. Icahn Enterprises shares were halted for the news. Tenneco shares rose 2.8% premarket, but are down 5% in the last 12 months, while the S&P 500 SPX, +0.33% has gained 12%.