• GameStop (GME) raised $2.14 billion from a share sale program
• The share sale capitalized on a stock rally fueled by Keith Gill (Roaring Kitty) talking up the shares after returning to YouTube
• GameStop has now raised over $3 billion through share sales over the past month as retail investors drove the stock higher
GameStop Corp raised roughly $2.14 billion from a share sale program as it capitalized on a stock rally after Keith Gill talked up the shares following his return to YouTube.
Share Sales Raise Over $3 Billion
The video-game retailer has now raised more than $3 billion over the past month through share sales as retail investors powered the stock higher. The latest sale of 75 million shares implied an average price of around $28.49 each, according to Bloomberg calculations based on a statement.
Stock Rallies as Volume Rises
The stock staged a mid-afternoon rally on Tuesday as volume rose.
Capitalizing on Investor Interest
GameStop took advantage of the investor interest sparked by Gill, known online as “Roaring Kitty,” who helped drive a surge in the stock earlier this year. Gill returned to YouTube on Monday after a months-long hiatus.
The day trader, whose real name is Keith Patrick Gill, uploaded a new video that sent GameStop shares soaring. The stock jumped 27% Tuesday after Gill’s first video in months.
Ongoing Volatility
GameStop remains one of the most volatile stocks in the market almost two years after becoming the face of the meme stock phenomenon.
The Grapevine, Texas-based company has been selling stock to shore up its finances amid market turbulence. GameStop has now raised more than $3.5 billion through equity offerings over the past year.
Conclusion
GameStop took advantage of renewed investor interest to raise additional capital through share sales. The company has brought in over $3 billion to shore up its finances as it continues to deal with volatile trading.
