GameStop sinks on plans to offer 3.5 million shares
- Shares of the video game retailer fell more than 11% to $171 as of 6:13 a.m. in New York
- GameStop signed a deal in December with Jefferies to sell as much as $100 million in stock, according to a filing.
GameStop Corp. fell early on Monday after the company said it may sell up to 3.5 million in additional shares an at-the-market equity offering program.
Shares of the video game retailer fell more than 11% to $171 as of 6:13 a.m. in New York. Jefferies will manage the offering, according to a statement, and proceeds will be used to further accelerate its corporate transformation.
The company signed a deal in December with Jefferies to sell as much as $100 million in stock, according to a filing.
In a separate statement, GameStop also released preliminary sales results for the first nine weeks of fiscal 2021, where total global sales increased about 11% from the same period a year ago. Total global sales jumped 18% in March after a 5.3% rise in February.
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First Published:5 Apr 2021, 04:27 PM IST
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