GameStop slumped 24%, after the struggling video game retailer said it would sell up to 45 million shares, taking advantage of the meme stocks frenzy.
GameStop slumped 24% on Friday, after the struggling video game retailer said it would sell up to 45 million shares, taking advantage of the meme-stocks frenzy that took hold this week.
The Grapevine, Texas-based firm logged its highest trading volume in three years so far this week, following a series of posts from Keith Gill’s X account “Roaring Kitty,” whose bullish calls on GameStop were a reason for the 2021 meme-stock frenzy.
“Companies have also learned to take advantage of the market disruption with quicker secondary offerings,” said Rick Meckler, partner at Cherry Lane Investments.
