GameStop (GME) shares are surging in following-several hours adhering to an announcement seeking a inventory break up.
The video clip recreation retailer’s inventory received as substantially as 20%, surpassing the $200 degree.
The firm reported in an 8-K SEC filing it plans to request stockholder approval at its upcoming yearly shareholder meeting to raise the variety of licensed Course A shares from 300 million to 1 billion in order to employ the break up by way of a dividend.
Retail traders bullish on the flagship meme stock expressed their enthusiasm.
“GameStop also intends to ask for stockholder acceptance at the Once-a-year Conference for a new incentive prepare (the “2022 Fairness Plan”) to assistance upcoming compensatory equity issuances,” explained the filing.
“GameStop’s Board of Directors has approved the two stockholder proposals, but the inventory dividend will be contingent on closing Board acceptance,” it went on.
GameStop shares have been on a tear in excess of a span of 10 times in March following chairman Ryan Cohen purchased 100,000 shares of the online video match retailer earlier this thirty day period.
Ines is a marketplaces reporter covering stocks from the floor of the New York Stock Trade. Observe her on Twitter at @ines_ferre
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