GameStop Raises Over $1B In Sale Of 5M Shares, Stock Jumps

Shares of GameStop Corp. GME, which have seen volatility due to strong retail interest, were rebounding Tuesday.

What Happened: GameStop said it has raised $1.126 billion in gross proceeds from selling 5 million shares through a previously announced at-the-market equity offering.

The per-share value at which the company sold shares works out to $225.20.

The company filed a prospectus with the SEC in June to offer up to 5 million shares of its common stock from time to time through the at-the-market offering.

GameStop said it sold the entire quota earmarked for the offering.

Related Link: GameStop Bulls Attempt A Breakaway: What Does The Chart Say?

Why It's Important: GameStop has embarked on a turnaround with new management at the helm. The brick-and-mortar retailer has set its sights on transforming itself into an e-commerce company.

In April, GameStop raised $551 million by offering 3.5 million shares. The company said in early May it had completed its voluntary early redemption of $216.4 million in senior notes due 2023, representing all of its debt.

GME Price Action: In premarket trading Tuesday, GameStop shares were trading 9.36% higher at $219.13. 

Related Link: Cohen In Control: GameStop Rises As Retailer Seeks E-Commerce Transformation