Advance Auto Pushed by Activist to Move on WorldPac Sale (1)

Advance Auto Parts Inc., whose sales and share price has lagged its peers, should proceed with its divestiture of WorldPac stores to generate $2 billion to $3 billion, according to activist investor Legion Partners Asset Management.

The auto parts retailer should also improve compensation to better compete with AutoZone Inc. and O’Reilly Automotive Inc., Legion Partners said Monday in a presentation at the Bloomberg Activism Forum.

Shares of Advance Auto Parts, based in Raleigh, North Carolina, rose as much as 5.2% Monday. They had fallen 62% this year, giving the company a market value of about $3.3 ...