GameStop Chairman and investor activist Ryan Cohen just received three Bed Bath & Beyond board seats.
BBBY stock surged as much as 8%.
Bed Bath & Beyond’s new board members were chosen by Cohen’s RC Ventures according to a Bloomberg report.
Ryah Cohen also recently increased his stake in GameStop to 11.9% this month.
Let’s break it down.
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RC Ventures joins Bed Bath & Beyond
Mark Tritton, Bed Bath & Beyond’s Chief Executive Officer, said in the statement that the company looked forward to integrating the new directors’ ideas.
Two of the three members will also join a special committee to weigh strategic alternatives for Buybuy Baby (Bloomberg).
Buybuy Baby is an American chain of stores sell clothing, strollers, and other items for use with infants and young children.
Cohen stated the Bed Bath & Beyond needs to narrow its focus and maintain the right inventory mix to meet demand.
He suggested exploring the sale of Buybuy Baby.
“Our Buybuy Baby business is a tremendous asset, and we are committed to unlocking its full value,” said CEO Mark Tritton.
Ryan Cohen’s RC Ventures disclosed a 9.8% stake in Bed Bath & Beyond this month.
Marjorie L. Bowen, Shelly C. Lombard and Ben Rosenzweig have been named to the board effective immediately, and Bowen and Rosenzweig will join the four-person Buybuy Baby committee.
GameStop’s share price soars
GameStop shares are up more than 66% this week with the stock currently trading around $150.
This week’s surge has put GameStop at a 11.45b market cap.
Shareholders cheered Ryan Cohen on Twitter when the Chairman announced his stake increase in GameStop.
The company recently announced their partnership with Loopring, where they unveiled the beta version of GameStop’s NFT marketplace.
The partnership with Bed Bath & Beyond only seems fitting in the ‘meme stock’ world.
What are your thoughts on Ryan Cohen’s moves recently?
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