(April 14) GameStop stock was up more than 2% in premarket trading, after dropping 26.36% amid 7-day losing streak through Tuesday.
GameStop issues an irrevocable notice of redemption to redeem $216.4M worth of senior notes with a 10.0% coupon rate. The voluntaryearly redemption covers the entire amount of the outstanding motes.
GameStop is using cash on hand for the early redemption.
Last week, GameStop filed to sell up to a maximum of 3.5M shares of its common stock from time to time through an "at-the-market" equity offering program. At the time, the company indicated the funds would be used for general corporate purposes and strengthening the balance sheet.
Analysts have largely been applauding many of the moves by GameStop management over the last several months amid the Reddit frenzy, although theaverage Wall Street price target is only $40.36 due to deep concerns over valuation.
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