GameStop rallies as Chewy founder Ryan Cohen tasked with leading e-commerce shift

Chewy founder Ryan Cohen's investment firm owns a 13% stake

GameStop Corp. shares rallied Monday on confirmation Ryan Cohen, founder of online pet food supplier Chewy Inc., will lead the company’s transformation to an e-commerce based model.

Ticker Security Last Change Change %
GME GAMESTOP 154.69 -1.75 -1.12%

Cohen will chair a special committee that will identify initiatives to speed up the transformation. Other committee members include former Chewy operations executive Alan Attal and Hestia Capital Management Chief Investment Officer Kurt Wolf.

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The committee, which has already announced the appointment of a handful of executives, including a chief technology officer, is currently searching for a new chief financial officer following the announcement that Jim Bell will exit the position at the end of the month.

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RC Ventures, Cohen’s investment firm, has amassed an approximately 13% stake in GameStop with the goal of transforming the company into a major e-commerce player that sells a wide variety of merchandise with fast shipping. He is the largest individual shareholder.

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GameStop shares soared by as much as 1,641% to $347.51 from Jan. 12 through Jan. 27 as traders on the WallStreetBets message board on Reddit banded together to squeeze short-sellers.

Shares settled at $137.74 apiece on Friday and were up 631% this year.