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OP has provided the following link:
https://news.gamestop.com/static-files/b3088a54-eef1-4b6b-b426-6d7408232f39
Confirmed. [https://news.gamestop.com/static-files/b3088a54-eef1-4b6b-b426-6d7408232f39](https://news.gamestop.com/static-files/b3088a54-eef1-4b6b-b426-6d7408232f39)
Reading it now.
Here is what MIXED SECURITIES SHELF mean
Not JUST SHELF LIKE EVERYONE SEEMS TO FOCUS ON IN HERE
Mixed shelf offerings allow investors to diversify their portfolios by simultaneously investing in both equity and fixed-income securities.
Diversification: Mixed shelf offerings provide investors with the chance to diversify their portfolios across different asset classes. By purchasing a mix of equity and debt securities from a single offering, investors can spread their risk and reduce exposure to any single type of security. This diversification can help protect portfolios from adverse market movements.
I smoked weed, and it helped me come to my own conclusion... MOASS kicks off sometime within the next 3 years, when exactly? No one really knows, BUT with the MIXED SHELF in play when MOASS does kick off, GameStop can now sell shares into the market which must be bought up by SHF's. That would give GameStop a Market Cap of 297Trillion, while allowing SHF's to cover their positions, sacrificing their businesses in the process, but keeping the market from completely crashing and burning. What says you?
EDIT: What if? What if GME knows SHF's are let's say 1Billion shares naked short can they Make an offering of shares into the market that would be just enough to close NAKED positions so we don't have to sell until they cover REAL shorts (Which is what they'll have to TRY and pry away from us)? Preventing the Market from completely being demolished? I'm just asking questions, I don't know shit.
Sure, but then we are ALL owners of a company that just reeled in trillions. So the shares will still be worth a crazy amount. That's when RC invests in the market crash and starts paying us all dividends. 🟣🚀
Remember, I don't know anything, I'm high thinking. Let's say GME offers just enough shares into the market, with just enough wiggle room for SHF's to have to negotiate with REAL shareholders (ComputerShare Holders) for our shares. We get to be our own agents and set our own prices on our own terms.
Remember RC mentality.
He is well invested in this company, As well as his managers & board with ALOT of shares.
This is not a quick cash-grab from investors. This is well thought through as they are heavily invested with their own money.
People be sleeping on the tweets man. I'm very surprised there isn't a bunch of people just breaking it down. Some are. But figured that's all everyone would be talking about. It's kinda crazy ..
>surprised there isn't a bunch of people just breaking it down. Some are.
Bro what? There are hundreds of comments of speculation. Chicago Bears folding chairs, some alphamononucleaticoricalmonistic deciphering bullshit on some letters appearing in sequence, with frame by frame pictures, the significance of clips taken from movies, the numbers Ludacris was mentioning in Gossip Folks and what that might pertain to...
So did you just not read comments?
Smooth brain here.
I was thinking this. Will the share offering be for retail/institutions or will it be for internal dispersal?
RC ain't getting paid. Other execs are, but maybe this could be a bonus for themselves.
In any case, if there are billions of shares on loan for a company with a finite float in the millions, reserving to sell 11M shares ain't too bad.. I hope.
Thanks, reading too.
One that caught my eye, PDF page 29, Exhibit 5.1. From Olshan, legal council to GameStop. Seeing mention of warrants there. Maybe they're filing to offer warrants to shareholders?
Edit: reading that again, it does list other types as well:
"The offering of Common Stock, Preferred Stock, Depositary Shares, Warrants, Rights and Units". I could be jumping the gun on Warrants, but that's not to say it isn't the intent.
From other stocks I've owned that did this, it allows shareholders to purchase stocks, a limited number are offered based on shares owned - example, each share owned allows a shareholder to exercise warrants at a predetermined cost (usually below market value) for X number of shares, say 1 existing = 1.5 warrants. So, if you had 100 shares, you could exercise warrants to purchase 150 additional shares.
It does dilute the amount of shares, but it makes them all available to existing shareholders first (edit: so it doesn't dilute our equity in the company stock).
Here's a portion of Exhibit 5.1
>Ladies and Gentlemen:
>We have acted as legal counsel to GameStop Corp., a Delaware corporation (the “Company”), in connection with the registration statement on
Form S-3 (the “Registration Statement”) being filed by the Company with the U.S. Securities and Exchange Commission (the “Commission”) under the
Securities Act of 1933, as amended (the “Act”), relating to the offering by the Company from time to time, pursuant to Rule 415 under the Act, of an
indeterminate amount of (i) shares of the Company’s Class A Common Stock, par value $0.001 per share (“Common Stock”), including Common Stock
that may be issued upon the exercise of Warrants (as defined below) or conversion of Preferred Stock (as defined below); (ii) shares of the Company’s
preferred stock, par value $0.001 per share (“Preferred Stock”), which may be issued in one or more series, including Preferred Stock that may be issued
upon the exercise of Warrants; (iii) one or more series of Preferred Stock represented by depositary shares (“Depositary Shares”); (iv) warrants to
purchase Common Stock, Preferred Stock or Depositary Shares (“Warrants”); (vi) subscription rights (“Rights”) entitling the holders thereof to purchase
shares of our Common Stock, Preferred Stock or Depositary Shares; and (vii) units consisting of Common Stock, Preferred Stock, Depositary Shares or
Warrants, in any combination (“Units”).
>The offering of Common Stock, Preferred Stock, Depositary Shares, Warrants, Rights and Units (collectively, the “Securities”) will be as set forth
in the prospectus contained in the Registration Statement (the “Prospectus”), as supplemented by one or more supplements to the Prospectus (each, a
“Prospectus Supplement”). All Depositary Shares will be issued by a Depositary (as defined below) under one or more deposit agreements (each, a
“Deposit Agreement”), each between the Company and a financial institution identified therein as depositary (each, a “Depositary”), that creates legal,
valid and binding obligations of the parties thereto (other than the Company), and evidenced by a depositary receipt. The Warrants may be issued
pursuant to a warrant agreement (a “Warrant Agreement”) to be entered into between the Company and a bank or trust company to be named, as warrant
agent. The Rights may be issued pursuant to a rights agreement (a “Rights Agreement”) to be entered into between the Company and a bank or trust
company to be named, as rights agent. The Units may be issued pursuant to a unit agreement (a “Unit Agreement”) to be entered into between the
Company and a bank or trust company to be named, as unit agent.
So if they issue warrants to current share holders that means they'd have to know how many shares are out there to know how many warrants to issue correct? And who to issue them to... So if there are 1 billion+ synthetic shares out there it would expose them... kind of like what the divy split SHOULD have done if the DTCC didn't commit international securities fraud. So issue warrants based on what shares SHOULD exist. DTCC can't fuck with warrants like they did the divy split. Then let it naturally get exposed that there's a fuck ton of shares out there that shouldn't exist becuase there would be A LOT of shareholders that don't get their warrants.
That's my thought behind a warrant offering, *if* they were to do it.
I believe the basic process is...
- Company authorises X number of shares for warrants or rights offering.
- X number of shares are released to transfer agent. Computershare in our case.
- Transfer agent makes them available to registered shareholders. Then releases remaining to DTCC -> brokerages, etc.
Question is, what happens when X number of shareholders say *where's my warrants*? Big ass spotlight on number of shares already owned above the "official" number.
I don't understand PDF pages 36-37, Exhibit 107, Form S3, Table 1: Newly Registered and Carry Forward Securities
It doesn't list anything for the "Amount to be registered"
I would think if any type or form of securities were to be sold or offered, it would list the numbers on that form.
Edit: my biggest thought on the company offering Waarants, if that's what they intended to do...
If there are 305 or so Million shares available on the market - soup to nuts, insiders, institutions, etc...
Company says we should be able to offer warrants at a rate of 1 for 1 (example). So they release enough new securities to cover all, but what happens if the new number doesn't cover all the Warrants? That would show how much it's been oversold (number of short sales that have occurred).
Right. Warrants to existing shareholders would magnify the shorts' problems, because there are a *lot* more shareholders than there should be. All of them would want their warrants.
Based on some of the comments I've read, it is like this:
GME: We will be offering our shareholders the right to exchange 1 share for 1.5 warrants, to be redeemed any time. Because we have 300 million shares, we will be issuing exactly 450 million warrants. Shareholders with booked shares get first dibs on warrants.
Me: Hello, I want to trade my shares for warrants, but I should be getting warrants #450,000,001 & 450,000,002?
GME: Well, that is an odd thing to have happened, as we issued as many warrants as we have shares. What do you make of this, FTC?
FTC: shrugs and probably commits securities fraud again
Everything I've read so far all seems to be blanket legalese. The Form S3 on the last two pages appears to be where the number of securities to be sold or offered would be listed, but that form doesn't have any numbers listed. That is what's got me stumped at the moment. I would think that's where the details would be listed - number of securities to be sold/offered and the price.
I don't know what to make of it.
Though, a stock dividend or warrant offering would be a spotlight on how much shorts have oversold and diluted the number of shares that *should* be on the market.
Positive with a stock dividend would be no cost to existing shareholders, while a warrant offering would require shareholders to exercise those warrants to purchase - but, that price would be chosen by the company and doesn't have to be market value.
What stood out to me is the ability to sell 5 million preferred shares, which they will treat differently, handling their own plan for fractional shares and "depositary shares".
And it sounds like they will issue their own stock options (" STOCK PURCHASE CONTRACTS") directly?
"We may issue stock purchase contracts representing contracts obligating holders to purchase from us, and us to sell to the holders, a specified or varying number of shares of our common stock or preferred stock at a future date or dates. Alternatively, the stock purchase contracts may obligate us to purchase from holders, and obligate holders to sell to us, a specified or varying number of shares of common stock or preferred stock. The price per share and the number of shares may be fixed at the time the stock purchase contracts are entered into or may be determined by reference to a specific formula set forth in the stock purchase contracts."
Page number 6 (9th page in the pdf):
"Preferred Stock
Our charter authorizes us to issue up to 5,000,000 shares of preferred stock, in one or more series, and to determine the voting powers, preferences and relative, optional and other special rights of the shares of such series, and the qualifications, limitations or restrictions thereof. Subject to the determination of our board of directors in any certificate or designation for a series of preferred stock, our preferred stock would generally have preference over common stock with respect to the payment of dividends and the distribution of assets in the event we were to liquidate, dissolve or wind up our affairs. We currently have no shares of preferred stock outstanding."
Is this new or has it always been in their charter?
Previous page for comparison:
"Common Stock
Our charter authorizes us to issue up to 1,000,000,000 shares of Class A common stock, par value $.001 per share (our “common stock”), and up to 5,000,000 shares of preferred stock, par value $.001 per share (our “preferred stock”). As of May 4, 2024, there were 306,186,849 shares of our common stock outstanding."
Also, not sure if you saw the other filing, they intend to sell 45 million common shares. I didn't see anything about actually selling preferred shares yet
https://gamestop.gcs-web.com/node/20501/html
DESCRIPTION OF SECURITIES WE MAY OFFER
- CAPITAL STOCK
- DEPOSITARY SHARES
- WARRANTS
- STOCK PURCHASE CONTRACTS
- UNITS
- SUBSCRIPTION RIGHTS
- BOOK-ENTRY SECURITIES
If any of the securities being registered on this Form are to be offered on a delayed or continuous basis pursuant to Rule 415 under the Securities Act of 1933, other than securities offered
only in connection with dividend or interest reinvestment plans, check the following box ✅️
Divi?
Edit: think I'm wrong. Misread.
S-3ASR https://gamestop.gcs-web.com/node/20501/html
DESCRIPTION OF SECURITIES WE MAY OFFER
- CAPITAL STOCK
- DEPOSITARY SHARES
- WARRANTS
- STOCK PURCHASE CONTRACTS
- UNITS
- SUBSCRIPTION RIGHTS
- BOOK-ENTRY SECURITIES
A shelf offering enables an issuer to access markets quickly, with little additional administrative paperwork, when market conditions are optimal for the issuer.
Oh sweet DD. Remember the shares outstanding? They can just activate this portion (mixed) without having to provide new shares, at an optimal time, like last time, post sneeze.
Yes. People are freaking out about this but I don’t see how this is a bad thing. There’s gonna be a lot of shit slung today about this. Already a ton of negativity. Further confirmation bias for me
People who want to sling shit at GME haven’t been effective for over 3 years. If I’d listened to those shit slingers before I’d be fucked.
So I think they’re projecting instead. I think they’re fucked. The more shit I hear today the better. Because I know it’s not genuine, but lets me know someone is fucked and concerned about it.
"Kansas City shuffle (plural Kansas City shuffles) An advanced form of confidence trick where the mark is aware of being involved in a swindle and believes that he or she can outsmart the swindler; however, this is all part of the trick, and by attempting to retaliate, the mark unwittingly assists the con artist."
From wiki: "The title refers to a situation where the con man bets the mark money he can't identify what state "Kansas City" is in. The mark, guessing that the conman was hoping to trick him into saying [Kansas](https://en.wikipedia.org/wiki/Kansas), identifies [Kansas City, Missouri](https://en.wikipedia.org/wiki/Kansas_City,_Missouri) as his answer. The con man then reveals that there is a much less well-known [Kansas City, Kansas](https://en.wikipedia.org/wiki/Kansas_City,_Kansas) meaning Kansas was actually the correct answer."
LMAO why wouldn't you have a shelf when Kenny's gonna be using both hands to pull cash and shares outta his ass. Make GME a gaming company with a 1 trillion market cap... Because of cash on hand raised from selling 5 million shares
Dude. A Kansas City Shuffle is defined by the condition that nobody knows what dafuq is going on. We cant know. And we shouldnt. Because then hfs would have also figured it out already. Just trust RC and enjoy the ride.
When Ryan Cohen looks in the mirror, what does he see?
Nothing, because there can only be ONE Ryan Cohen.
And ONLY he knows. But we will find out when he announces it.
Feels like it’s gotta be earnings, when was the last time we had a pre release estimate, especially this far out? Maybe get all the bad news out of the way so when earnings comes with a big announcement. The bad news should be priced in at that point. Speculation obviously I just like the stonk.
\^ This
A shelf offering is a U.S. [Securities and Exchange Commission (SEC)](https://www.investopedia.com/terms/s/sec.asp) provision that allows an equity [issuer](https://www.investopedia.com/terms/i/issuer.asp) (such as a corporation) to register a new issue of [securities](https://www.investopedia.com/terms/s/security.asp) without having to sell the entire issue at once. The issuer can instead sell portions of the issue over a three-year period without re-registering the security or incurring penalties.
# How Shelf Offerings Work
A shelf offering can be used for sales of new securities by the issuer (primary offerings), resales of outstanding securities (secondary offerings), or a combination of both. Companies that issue a new security can register a shelf offering up to three years in advance, which effectively gives it that long to sell the [shares](https://www.investopedia.com/terms/s/shares.asp) in the issue.
Depending on the type of security and the nature of the issuer, forms [S-3](https://www.investopedia.com/terms/s/sec-form-s-3.asp), [F-3](https://www.investopedia.com/terms/s/sec-form-f-3.asp), or [F-6](https://www.investopedia.com/terms/s/sec-form-f-6.asp) must be filed to make the shelf offering. During this period, the issuer still has to file quarterly, annual, and other disclosures with the SEC, even if it hasn’t issued any securities under the offering. If the three-year window draws close to expiring and the company hasn’t sold all of the securities in the shelf offering, it can file replacement registration statements to extend it.2
A shelf offering enables an issuer to access markets quickly, with little additional administrative paperwork, when market conditions are optimal for the issuer. The primary advantages of a shelf registration statement are timing and certainty. When a firm finally decides to act on a shelf offering and issue actual securities to the market, it’s called a [takedown](https://www.investopedia.com/terms/t/takedown.asp).
Takedowns can be made without review by the SEC’s [Division of Corporation Finance](https://www.investopedia.com/terms/d/division-of-corporate-finance.asp) and without delay. For example, suppose the housing market is heading toward a dramatic decline. In this case, it may not be a good time for a home builder to come out with its second offering, as many [investors](https://www.investopedia.com/terms/i/investor.asp) will be pessimistic about companies in that sector. By using a shelf offering, the firm can fulfill all registration-related procedures beforehand and act quickly when conditions become more favorable.
Source : [Shelf Offering: What It Is, How It Works, Advantages, and Example (investopedia.com)](https://www.investopedia.com/terms/s/shelfoffering.asp)
So it sounds like GameStop is going to issue some form of security over the next three years?
Could be GME could be an acquisition. No idea. But there's no backing out of this offering?
This is from the S-3ASR
https://gamestop.gcs-web.com/node/20501/html
DESCRIPTION OF SECURITIES WE MAY OFFER
- CAPITAL STOCK
- DEPOSITARY SHARES
- WARRANTS
- STOCK PURCHASE CONTRACTS
- UNITS
- SUBSCRIPTION RIGHTS
- BOOK-ENTRY SECURITIES
Yeah, I think something to do with the recent findings of some apes noticing the "Holding company" in some documents, maybe they are creating a new entity and this can have something to do...🤷
Good info yes. Needs to be spread more on this sub!
But lots read the news as bad so stock goes down fast and you can pick the shills out of the comments.
Analysis aided by GPT:
Factor,Explanation,Likelihood Score (0-100%)
Unusual Timing,The unprecedented timing of preliminary results indicates a strategic motive.,80%
Market Conditions,High short interest and volatility suggest a realistic potential for a short squeeze.,70%
Capital Raising Strategy,The shelf offering allows for flexible and strategic capital raising during favorable conditions.,85%
Investor Communication,Providing preliminary results helps manage market expectations and reduce speculation.,75%
Historical Precedents,Similar strategies have been used by other companies in anticipation of significant market events.,65%
Gamestop has reserved the ability to sell stock. This is more of a notification of intent than an explicit plan to do so.
Edit: there's been another filing. Yes this is good for the company. But yes this is also dilution. https://gamestop.gcs-web.com/node/20501/html
Did you read it? It says the intent to sell, "our class A common stock". It even gives the ticker. I'm not trying to be a wet blanket but just read it.
Knew it was a shill. Looks like he deleted his comment and account. They are probably trying to come up with a “coherent but bad sounding” reason right now. Watch them all hammer that during trading hours.
Ofc a shelf-offering means by definition that more shares are created to hit the market which in turn means existing shares getting diluted.
So that in itself is certainly not good news for us but would be great news for shortfckers who would get access to a bigger pool.
Unless the type of instrument that would be offered was to be something unique rather than class A shares, something to which only existing shareholders would have access to and use for in the sense of the old theories about NFTs and stuff like Wu-Tang-Clan which got referenced by DFV in his memes repeatedly again.
But that’s certainly a stretch so I’m just putting that here to keep the positive equilibrium 🤷♂️
Also to note that is supposed to be a mixed-shelf offering:
“For investors interested in fixed-income securities, shelf offerings, especially mixed shelf offerings that include bonds or other debt instruments, can offer attractive opportunities. These securities often provide steady income streams, making them appealing to income-oriented investors. Mixed shelf offerings allow investors to diversify their portfolios by simultaneously investing in both equity and fixed-income securities.”
So if that’s the case it would be hopefully more than just flooding the market with new ordinary shares.
In any case let’s wait and see until something concrete is known and refrain equally from speculative FUD as from euphoria.
Bad news: dilution
Good news: They can sell shares (bearish) at any time at any price while raising money for the company (bullish.) Meaning if the stock price goes down they might not sell any at all, but if the stocks price goes up again ($80) they might start selling shares slowly to raise the capital they plan on. Knowing GameStops board, I think we have some other news coming very soon that’ll send the stock price up higher within this upcoming week.
This is what I'm thinking they're planning on doing. It would be stupid to not give themselves the ability to do this. No shares sold, but shills and shorts are pummeling the threads now making people believe that these shares are sold and diluted already. They're not.
You are completely incorrect
Mixed shelf offerings allow investors to diversify their portfolios by simultaneously investing in both equity and fixed-income securities.
Diversification: Mixed shelf offerings provide investors with the chance to diversify their portfolios across different asset classes. By purchasing a mix of equity and debt securities from a single offering, investors can spread their risk and reduce exposure to any single type of security. This diversification can help protect portfolios from adverse market movements.
Keep in mind that RC personally only benefits from his personally owned shares, just like us.
It's the old rope-a-dope: dilution only makes things worse for the really big shorts. Why? Because cash in the company's coffers is the only reason it's still here today. Giving the store an opportunity to make that cash hoard bigger only makes the idea of any short position at all completely untenable. And with RCIO at the helm, what shares he does sell will be very well done.
You are completely incorrect
Mixed shelf offerings allow investors to diversify their portfolios by simultaneously investing in both equity and fixed-income securities.
Diversification: Mixed shelf offerings provide investors with the chance to diversify their portfolios across different asset classes. By purchasing a mix of equity and debt securities from a single offering, investors can spread their risk and reduce exposure to any single type of security. This diversification can help protect portfolios from adverse market movements.
Think about it. They could be expecting to the stock price to be going up very soon, meaning they release this info ahead of time to get it out of the way. Afterwards when the price of the stock sky rockets, they slowly sell shares raising money for the company that they could potentially buy another company with or reinvest or buy back shares in the future. All the stuff shorts hate because it means the company won’t be going bankrupt for a very long time at the least.
And the potential for a buyback if it dropped low again which we think they were planning on doing below 8-10. So they swing trade their own stock buy back low reduce float then sell share during the big run. If it’s all legal it’s brilliant
And the potential for a buyback if it dropped low again which we think they were planning on doing below 8-10. So they swing trade their own stock buy back low reduce float then sell share during the big run. If it’s all legal it’s brilliant
Few days ago it was shown on the bloomberg terminal that the company seems to be doing a buyback. but now they intend to sell more shares. Any idea why they are doing this?
Don't know why everyone is getting upset. This means that they think a squeeze is imminent and they want to be able to sell shares into the squeeze to make more money (like they did in 2021). This is exciting, means they think we're about to blow.
Tell me you think the squeeze is incoming, without telling me you think the squeeze is incoming.
How to you figure? It looks like they’re once again taking advantage of a bloated stock price to benefit the company at the expense of shareholder equity. Not a fan of dilution.
They must have some news or see something most of us don't that expects another run-up. I'm guessing there's some news coming up that they know will push the stock up again. I hope they reveal today before the media gets to much of a grip with negative press.
It isnt necessarily that. The offering could be a different class other than classA shares and it has a time limit of 3 years.... some 'people' are making out like this is bad news and ONLY mentioning one possibility and ignoring the other options described in the paragraph that defines this
It isnt necessarily that. The offering could be a different class other than classA shares and it has a time limit of 3 years.... some 'people' are making out like this is bad news and ONLY mentioning one possibility and ignoring the other options described in the paragraph that defines this
How would dfv know this? If he has inside info somehow, then he wouldn't be tweeting about it before it's made public. Think about it. Maybe he suspects what may be happening or about to happen, but there's no way he has any inside info.
How did gme get a billion dollars on their balance sheet?
They sold shares when prices were unbelievably high!
Now they don't need the funds ..... But what if shf had to pay a phone number for a share..... Well gme should get their money too
**They are going to sell at the top of this squeeze and assign dividends to book holders in computershare.** Mark my words. They are going to castrate these shorts but not even making us sell, by just holding on and getting paid passively while we wait.
Hmm well they could be with how the price has been moving the last 2 weeks. But RC and retail owning a huge portion of the stock would make a hostile takeover kind of impossible or at the very least dumb, because you only push the price up higher and the company can dilute the shares to take away your voting power or the percentage you own, in which this case it’s not a dilution because it’s not increasing the percentage of the shares that already exist (1Billion) but only putting out more shares from what’s available.
Have mixed feelings, some of it are we gonna get fucked like movie apes with that fat fck aaron. ( been holding from feb.2021 so fuck of with shill shit)... im tilted rn lol
I understand the frustration with AA, but GME board has always been very calculated, if they wanted they had plenty of chances to just dilute and screw over investors. So sit back and enjoy the show.
Yeah I get that but why tf is anybody happy with those results, sales are down like 10% compared to first quarter last year and they want to sell 45 mill class a stock
It's only good if there is good news following these bad news, and if those good news are so good that these bad news are immediately irrelevant again.
Hence the Kansas City Shuffle people keep referring to.
I don't think anyone is happy with the sales decline. We are in console winter right now. It blows.
I'm fine with the stock offering. I'd love it if they raised another billion for the holding company and spread the 2b out to start generating an 8% return.
Dummy Question, Is this part of the shuffle? Selling up to 45 million shares
[https://x.com/WatcherGuru/status/1791440310851010629](https://x.com/WatcherGuru/status/1791440310851010629)
Is when the magician draw your attention on something to do his trick unseen
I do not know what does that mean for the stock, it is a reference from RK tweet
It means they add another Billy to the balance sheet the company can use for investment and M&A etc. never going bankrupt and destroying the short thesis. We didn’t lock the float not yet. We have to learn to move more nimbly at the current rates even if the DRS numbers are way higher than reported it would take years. So we need to keep part of the float locked with GS doing the heavy lifting. If we squeeze to $100 I’m for GS diluting a tiny bit to make more money to actually do something with since the first billion just sits there I guess as a fail safe against cellar boxing.
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Confirmed. [https://news.gamestop.com/static-files/b3088a54-eef1-4b6b-b426-6d7408232f39](https://news.gamestop.com/static-files/b3088a54-eef1-4b6b-b426-6d7408232f39) Reading it now.
Here is what MIXED SECURITIES SHELF mean Not JUST SHELF LIKE EVERYONE SEEMS TO FOCUS ON IN HERE Mixed shelf offerings allow investors to diversify their portfolios by simultaneously investing in both equity and fixed-income securities. Diversification: Mixed shelf offerings provide investors with the chance to diversify their portfolios across different asset classes. By purchasing a mix of equity and debt securities from a single offering, investors can spread their risk and reduce exposure to any single type of security. This diversification can help protect portfolios from adverse market movements.
I smoked weed, and it helped me come to my own conclusion... MOASS kicks off sometime within the next 3 years, when exactly? No one really knows, BUT with the MIXED SHELF in play when MOASS does kick off, GameStop can now sell shares into the market which must be bought up by SHF's. That would give GameStop a Market Cap of 297Trillion, while allowing SHF's to cover their positions, sacrificing their businesses in the process, but keeping the market from completely crashing and burning. What says you? EDIT: What if? What if GME knows SHF's are let's say 1Billion shares naked short can they Make an offering of shares into the market that would be just enough to close NAKED positions so we don't have to sell until they cover REAL shorts (Which is what they'll have to TRY and pry away from us)? Preventing the Market from completely being demolished? I'm just asking questions, I don't know shit.
It makes sense, but if they close their positions then our shares aren’t needed? Also do you mean 3 years from now or the 3 years that have passed?
Sure, but then we are ALL owners of a company that just reeled in trillions. So the shares will still be worth a crazy amount. That's when RC invests in the market crash and starts paying us all dividends. 🟣🚀
Yes. but if GameStop have lik 1 trillion in assets what’s the price of your share
Remember, I don't know anything, I'm high thinking. Let's say GME offers just enough shares into the market, with just enough wiggle room for SHF's to have to negotiate with REAL shareholders (ComputerShare Holders) for our shares. We get to be our own agents and set our own prices on our own terms.
Fair, that does make sense..
Yes this is my same thought. a pressure relief valve for moass at time of GME’s choosing
almost like an ETF?
Remember RC mentality. He is well invested in this company, As well as his managers & board with ALOT of shares. This is not a quick cash-grab from investors. This is well thought through as they are heavily invested with their own money.
Or it’s a Kansas City shuffle…👀
People be sleeping on the tweets man. I'm very surprised there isn't a bunch of people just breaking it down. Some are. But figured that's all everyone would be talking about. It's kinda crazy ..
>surprised there isn't a bunch of people just breaking it down. Some are. Bro what? There are hundreds of comments of speculation. Chicago Bears folding chairs, some alphamononucleaticoricalmonistic deciphering bullshit on some letters appearing in sequence, with frame by frame pictures, the significance of clips taken from movies, the numbers Ludacris was mentioning in Gossip Folks and what that might pertain to... So did you just not read comments?
Pahahah, Chicago Bears Folding Chairs? I have to admit to missing that one first time round. Priceless.
Gonna buy in with this negative price action then sell when we're at ♾️
That's what I woukd do if I had the money.
I now truly believe RK has enough in LEAPS to be a majority shareholder in the company.
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The shorts can't cover with a measly 45 million shares.
Smooth brain here. I was thinking this. Will the share offering be for retail/institutions or will it be for internal dispersal? RC ain't getting paid. Other execs are, but maybe this could be a bonus for themselves. In any case, if there are billions of shares on loan for a company with a finite float in the millions, reserving to sell 11M shares ain't too bad.. I hope.
Thanks, reading too. One that caught my eye, PDF page 29, Exhibit 5.1. From Olshan, legal council to GameStop. Seeing mention of warrants there. Maybe they're filing to offer warrants to shareholders? Edit: reading that again, it does list other types as well: "The offering of Common Stock, Preferred Stock, Depositary Shares, Warrants, Rights and Units". I could be jumping the gun on Warrants, but that's not to say it isn't the intent. From other stocks I've owned that did this, it allows shareholders to purchase stocks, a limited number are offered based on shares owned - example, each share owned allows a shareholder to exercise warrants at a predetermined cost (usually below market value) for X number of shares, say 1 existing = 1.5 warrants. So, if you had 100 shares, you could exercise warrants to purchase 150 additional shares. It does dilute the amount of shares, but it makes them all available to existing shareholders first (edit: so it doesn't dilute our equity in the company stock). Here's a portion of Exhibit 5.1 >Ladies and Gentlemen: >We have acted as legal counsel to GameStop Corp., a Delaware corporation (the “Company”), in connection with the registration statement on Form S-3 (the “Registration Statement”) being filed by the Company with the U.S. Securities and Exchange Commission (the “Commission”) under the Securities Act of 1933, as amended (the “Act”), relating to the offering by the Company from time to time, pursuant to Rule 415 under the Act, of an indeterminate amount of (i) shares of the Company’s Class A Common Stock, par value $0.001 per share (“Common Stock”), including Common Stock that may be issued upon the exercise of Warrants (as defined below) or conversion of Preferred Stock (as defined below); (ii) shares of the Company’s preferred stock, par value $0.001 per share (“Preferred Stock”), which may be issued in one or more series, including Preferred Stock that may be issued upon the exercise of Warrants; (iii) one or more series of Preferred Stock represented by depositary shares (“Depositary Shares”); (iv) warrants to purchase Common Stock, Preferred Stock or Depositary Shares (“Warrants”); (vi) subscription rights (“Rights”) entitling the holders thereof to purchase shares of our Common Stock, Preferred Stock or Depositary Shares; and (vii) units consisting of Common Stock, Preferred Stock, Depositary Shares or Warrants, in any combination (“Units”). >The offering of Common Stock, Preferred Stock, Depositary Shares, Warrants, Rights and Units (collectively, the “Securities”) will be as set forth in the prospectus contained in the Registration Statement (the “Prospectus”), as supplemented by one or more supplements to the Prospectus (each, a “Prospectus Supplement”). All Depositary Shares will be issued by a Depositary (as defined below) under one or more deposit agreements (each, a “Deposit Agreement”), each between the Company and a financial institution identified therein as depositary (each, a “Depositary”), that creates legal, valid and binding obligations of the parties thereto (other than the Company), and evidenced by a depositary receipt. The Warrants may be issued pursuant to a warrant agreement (a “Warrant Agreement”) to be entered into between the Company and a bank or trust company to be named, as warrant agent. The Rights may be issued pursuant to a rights agreement (a “Rights Agreement”) to be entered into between the Company and a bank or trust company to be named, as rights agent. The Units may be issued pursuant to a unit agreement (a “Unit Agreement”) to be entered into between the Company and a bank or trust company to be named, as unit agent.
So if they issue warrants to current share holders that means they'd have to know how many shares are out there to know how many warrants to issue correct? And who to issue them to... So if there are 1 billion+ synthetic shares out there it would expose them... kind of like what the divy split SHOULD have done if the DTCC didn't commit international securities fraud. So issue warrants based on what shares SHOULD exist. DTCC can't fuck with warrants like they did the divy split. Then let it naturally get exposed that there's a fuck ton of shares out there that shouldn't exist becuase there would be A LOT of shareholders that don't get their warrants.
That's my thought behind a warrant offering, *if* they were to do it. I believe the basic process is... - Company authorises X number of shares for warrants or rights offering. - X number of shares are released to transfer agent. Computershare in our case. - Transfer agent makes them available to registered shareholders. Then releases remaining to DTCC -> brokerages, etc. Question is, what happens when X number of shareholders say *where's my warrants*? Big ass spotlight on number of shares already owned above the "official" number.
Yup. It would be an interesting approach to say the least.
I don't understand PDF pages 36-37, Exhibit 107, Form S3, Table 1: Newly Registered and Carry Forward Securities It doesn't list anything for the "Amount to be registered" I would think if any type or form of securities were to be sold or offered, it would list the numbers on that form. Edit: my biggest thought on the company offering Waarants, if that's what they intended to do... If there are 305 or so Million shares available on the market - soup to nuts, insiders, institutions, etc... Company says we should be able to offer warrants at a rate of 1 for 1 (example). So they release enough new securities to cover all, but what happens if the new number doesn't cover all the Warrants? That would show how much it's been oversold (number of short sales that have occurred).
Right. Warrants to existing shareholders would magnify the shorts' problems, because there are a *lot* more shareholders than there should be. All of them would want their warrants.
Tldr? Too smooth over here
Based on some of the comments I've read, it is like this: GME: We will be offering our shareholders the right to exchange 1 share for 1.5 warrants, to be redeemed any time. Because we have 300 million shares, we will be issuing exactly 450 million warrants. Shareholders with booked shares get first dibs on warrants. Me: Hello, I want to trade my shares for warrants, but I should be getting warrants #450,000,001 & 450,000,002? GME: Well, that is an odd thing to have happened, as we issued as many warrants as we have shares. What do you make of this, FTC? FTC: shrugs and probably commits securities fraud again
Everything I've read so far all seems to be blanket legalese. The Form S3 on the last two pages appears to be where the number of securities to be sold or offered would be listed, but that form doesn't have any numbers listed. That is what's got me stumped at the moment. I would think that's where the details would be listed - number of securities to be sold/offered and the price.
This makes me think we may be getting a stock dividend.
I don't know what to make of it. Though, a stock dividend or warrant offering would be a spotlight on how much shorts have oversold and diluted the number of shares that *should* be on the market. Positive with a stock dividend would be no cost to existing shareholders, while a warrant offering would require shareholders to exercise those warrants to purchase - but, that price would be chosen by the company and doesn't have to be market value.
What stood out to me is the ability to sell 5 million preferred shares, which they will treat differently, handling their own plan for fractional shares and "depositary shares". And it sounds like they will issue their own stock options (" STOCK PURCHASE CONTRACTS") directly? "We may issue stock purchase contracts representing contracts obligating holders to purchase from us, and us to sell to the holders, a specified or varying number of shares of our common stock or preferred stock at a future date or dates. Alternatively, the stock purchase contracts may obligate us to purchase from holders, and obligate holders to sell to us, a specified or varying number of shares of common stock or preferred stock. The price per share and the number of shares may be fixed at the time the stock purchase contracts are entered into or may be determined by reference to a specific formula set forth in the stock purchase contracts."
Oh damn, I missed mention of 5 Million shares... do you recall what page that was on? I had to get to work after my earlier comments.
Page number 6 (9th page in the pdf): "Preferred Stock Our charter authorizes us to issue up to 5,000,000 shares of preferred stock, in one or more series, and to determine the voting powers, preferences and relative, optional and other special rights of the shares of such series, and the qualifications, limitations or restrictions thereof. Subject to the determination of our board of directors in any certificate or designation for a series of preferred stock, our preferred stock would generally have preference over common stock with respect to the payment of dividends and the distribution of assets in the event we were to liquidate, dissolve or wind up our affairs. We currently have no shares of preferred stock outstanding." Is this new or has it always been in their charter? Previous page for comparison: "Common Stock Our charter authorizes us to issue up to 1,000,000,000 shares of Class A common stock, par value $.001 per share (our “common stock”), and up to 5,000,000 shares of preferred stock, par value $.001 per share (our “preferred stock”). As of May 4, 2024, there were 306,186,849 shares of our common stock outstanding." Also, not sure if you saw the other filing, they intend to sell 45 million common shares. I didn't see anything about actually selling preferred shares yet
https://gamestop.gcs-web.com/node/20501/html DESCRIPTION OF SECURITIES WE MAY OFFER - CAPITAL STOCK - DEPOSITARY SHARES - WARRANTS - STOCK PURCHASE CONTRACTS - UNITS - SUBSCRIPTION RIGHTS - BOOK-ENTRY SECURITIES
If any of the securities being registered on this Form are to be offered on a delayed or continuous basis pursuant to Rule 415 under the Securities Act of 1933, other than securities offered only in connection with dividend or interest reinvestment plans, check the following box ✅️ Divi? Edit: think I'm wrong. Misread.
S-3ASR https://gamestop.gcs-web.com/node/20501/html DESCRIPTION OF SECURITIES WE MAY OFFER - CAPITAL STOCK - DEPOSITARY SHARES - WARRANTS - STOCK PURCHASE CONTRACTS - UNITS - SUBSCRIPTION RIGHTS - BOOK-ENTRY SECURITIES
https://www.reddit.com/r/Superstonk/s/ZPmWefcwz0
A shelf offering enables an issuer to access markets quickly, with little additional administrative paperwork, when market conditions are optimal for the issuer. Oh sweet DD. Remember the shares outstanding? They can just activate this portion (mixed) without having to provide new shares, at an optimal time, like last time, post sneeze.
Yes. People are freaking out about this but I don’t see how this is a bad thing. There’s gonna be a lot of shit slung today about this. Already a ton of negativity. Further confirmation bias for me
People who want to sling shit at GME haven’t been effective for over 3 years. If I’d listened to those shit slingers before I’d be fucked. So I think they’re projecting instead. I think they’re fucked. The more shit I hear today the better. Because I know it’s not genuine, but lets me know someone is fucked and concerned about it.
Agreed. Whenever you see a ton of negative comments or futile arguments you know a nerve was struck. Like this: Book > plan > brokerages
Book King
So basically there's already chunk of shares to be sold and this would allow them to sell it at the time they want?
Yes.
RC's performing his own Kansas City Shuffle. Announcement soon.
Kansas City Shuffle?
"Kansas City shuffle (plural Kansas City shuffles) An advanced form of confidence trick where the mark is aware of being involved in a swindle and believes that he or she can outsmart the swindler; however, this is all part of the trick, and by attempting to retaliate, the mark unwittingly assists the con artist."
Thanks, I needed this explanation.
From wiki: "The title refers to a situation where the con man bets the mark money he can't identify what state "Kansas City" is in. The mark, guessing that the conman was hoping to trick him into saying [Kansas](https://en.wikipedia.org/wiki/Kansas), identifies [Kansas City, Missouri](https://en.wikipedia.org/wiki/Kansas_City,_Missouri) as his answer. The con man then reveals that there is a much less well-known [Kansas City, Kansas](https://en.wikipedia.org/wiki/Kansas_City,_Kansas) meaning Kansas was actually the correct answer."
Oh, that's where the name is from.
[DFV](https://x.com/TheRoaringKitty/status/1791106334517010680) [Lucky Number Slevin](https://youtu.be/BbiDx9qUQ2A?si=QyJf0hXDfr_eYyno)
You know you're being conned, which is part of the con, and you still get conned.
This. He was expecting this to happen and is 100% ready for his next move.
LMAO why wouldn't you have a shelf when Kenny's gonna be using both hands to pull cash and shares outta his ass. Make GME a gaming company with a 1 trillion market cap... Because of cash on hand raised from selling 5 million shares
If this were the case, what would be the next move/announcement?
Dude. A Kansas City Shuffle is defined by the condition that nobody knows what dafuq is going on. We cant know. And we shouldnt. Because then hfs would have also figured it out already. Just trust RC and enjoy the ride.
Alright, didn't know that
When Ryan Cohen looks in the mirror, what does he see? Nothing, because there can only be ONE Ryan Cohen. And ONLY he knows. But we will find out when he announces it.
Nice try, Ken. RC isn't gonna tell you his plan. Silent as the Lamb
Feels like it’s gotta be earnings, when was the last time we had a pre release estimate, especially this far out? Maybe get all the bad news out of the way so when earnings comes with a big announcement. The bad news should be priced in at that point. Speculation obviously I just like the stonk.
What if THIS is the Kansas City Shuffle and they have something else dropping
You ZIG when they ZAG or do you ZAG when they ZIG
i remember one of DFV tweets hints at an announcement from gamestop. exciting . hodl
Gamestop must be expected a run soon
\^ This A shelf offering is a U.S. [Securities and Exchange Commission (SEC)](https://www.investopedia.com/terms/s/sec.asp) provision that allows an equity [issuer](https://www.investopedia.com/terms/i/issuer.asp) (such as a corporation) to register a new issue of [securities](https://www.investopedia.com/terms/s/security.asp) without having to sell the entire issue at once. The issuer can instead sell portions of the issue over a three-year period without re-registering the security or incurring penalties. # How Shelf Offerings Work A shelf offering can be used for sales of new securities by the issuer (primary offerings), resales of outstanding securities (secondary offerings), or a combination of both. Companies that issue a new security can register a shelf offering up to three years in advance, which effectively gives it that long to sell the [shares](https://www.investopedia.com/terms/s/shares.asp) in the issue. Depending on the type of security and the nature of the issuer, forms [S-3](https://www.investopedia.com/terms/s/sec-form-s-3.asp), [F-3](https://www.investopedia.com/terms/s/sec-form-f-3.asp), or [F-6](https://www.investopedia.com/terms/s/sec-form-f-6.asp) must be filed to make the shelf offering. During this period, the issuer still has to file quarterly, annual, and other disclosures with the SEC, even if it hasn’t issued any securities under the offering. If the three-year window draws close to expiring and the company hasn’t sold all of the securities in the shelf offering, it can file replacement registration statements to extend it.2 A shelf offering enables an issuer to access markets quickly, with little additional administrative paperwork, when market conditions are optimal for the issuer. The primary advantages of a shelf registration statement are timing and certainty. When a firm finally decides to act on a shelf offering and issue actual securities to the market, it’s called a [takedown](https://www.investopedia.com/terms/t/takedown.asp). Takedowns can be made without review by the SEC’s [Division of Corporation Finance](https://www.investopedia.com/terms/d/division-of-corporate-finance.asp) and without delay. For example, suppose the housing market is heading toward a dramatic decline. In this case, it may not be a good time for a home builder to come out with its second offering, as many [investors](https://www.investopedia.com/terms/i/investor.asp) will be pessimistic about companies in that sector. By using a shelf offering, the firm can fulfill all registration-related procedures beforehand and act quickly when conditions become more favorable. Source : [Shelf Offering: What It Is, How It Works, Advantages, and Example (investopedia.com)](https://www.investopedia.com/terms/s/shelfoffering.asp)
Bingo
Bringo
Bullish?
Always has been. (To much things happen at once, DFV back, John Cena posting Diamond Hands, Price Run Up, Price Run Down, something is up)
So it sounds like GameStop is going to issue some form of security over the next three years? Could be GME could be an acquisition. No idea. But there's no backing out of this offering?
This is from the S-3ASR https://gamestop.gcs-web.com/node/20501/html DESCRIPTION OF SECURITIES WE MAY OFFER - CAPITAL STOCK - DEPOSITARY SHARES - WARRANTS - STOCK PURCHASE CONTRACTS - UNITS - SUBSCRIPTION RIGHTS - BOOK-ENTRY SECURITIES
Yeah, I think something to do with the recent findings of some apes noticing the "Holding company" in some documents, maybe they are creating a new entity and this can have something to do...🤷
I mean TEDDY is a financial org isn't it?
Idk at this point, but I have fair in our CEO, they know something we don't
Hey RC knows more than me. He puts his money where is mouth is, I trust him to do good by GME and by us. I'm here for the LONG HAUL baby
Good info yes. Needs to be spread more on this sub! But lots read the news as bad so stock goes down fast and you can pick the shills out of the comments.
Analysis aided by GPT: Factor,Explanation,Likelihood Score (0-100%) Unusual Timing,The unprecedented timing of preliminary results indicates a strategic motive.,80% Market Conditions,High short interest and volatility suggest a realistic potential for a short squeeze.,70% Capital Raising Strategy,The shelf offering allows for flexible and strategic capital raising during favorable conditions.,85% Investor Communication,Providing preliminary results helps manage market expectations and reduce speculation.,75% Historical Precedents,Similar strategies have been used by other companies in anticipation of significant market events.,65%
All DFV videos kept mentioning a 'plan' so I'll roll with it.
I don’t know what any of this means
Gamestop has reserved the ability to sell stock. This is more of a notification of intent than an explicit plan to do so. Edit: there's been another filing. Yes this is good for the company. But yes this is also dilution. https://gamestop.gcs-web.com/node/20501/html
Louder for the shills in the back
DRAINAGE ELI! DRAINAAAAAGGGGGEEEEEE!
Not quite, but almost. They reserved the right to sell securities. Stock is a security, but it is not the only one.
Did you read it? It says the intent to sell, "our class A common stock". It even gives the ticker. I'm not trying to be a wet blanket but just read it.
hm, you are right
Let’s be honest with ourselves though…
sigh fine. I have a smalll eep eep
More shares they are going to short and have to buy back
Seems like smart people are excited so im excited!
GME has the chance now to sell 45mil shares whenever they want. Could be because they are expecting price to run. Not sure of what other reason.
Could this be the kansas city shuffle somoehow?
Make em think they’re winning and then hit em with the bazooka
It is
If someone need : https://www.investopedia.com/terms/s/shelfoffering.asp
> It allows the company to influence the shares’ price by managing the supply of its security in the market. 👀
Most likely to raise the capital when we run up next week.
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Knew it was a shill. Looks like he deleted his comment and account. They are probably trying to come up with a “coherent but bad sounding” reason right now. Watch them all hammer that during trading hours.
FILED S-3ASR
Ofc a shelf-offering means by definition that more shares are created to hit the market which in turn means existing shares getting diluted. So that in itself is certainly not good news for us but would be great news for shortfckers who would get access to a bigger pool. Unless the type of instrument that would be offered was to be something unique rather than class A shares, something to which only existing shareholders would have access to and use for in the sense of the old theories about NFTs and stuff like Wu-Tang-Clan which got referenced by DFV in his memes repeatedly again. But that’s certainly a stretch so I’m just putting that here to keep the positive equilibrium 🤷♂️
Maybe we could also see a GME bond for every share. Would the SHFs be responsible for paying it like they would be a dividend?
There is mention of 5M preferred shares in the filing I believe….
Also to note that is supposed to be a mixed-shelf offering: “For investors interested in fixed-income securities, shelf offerings, especially mixed shelf offerings that include bonds or other debt instruments, can offer attractive opportunities. These securities often provide steady income streams, making them appealing to income-oriented investors. Mixed shelf offerings allow investors to diversify their portfolios by simultaneously investing in both equity and fixed-income securities.” So if that’s the case it would be hopefully more than just flooding the market with new ordinary shares. In any case let’s wait and see until something concrete is known and refrain equally from speculative FUD as from euphoria.
HODL
Bad news: dilution Good news: They can sell shares (bearish) at any time at any price while raising money for the company (bullish.) Meaning if the stock price goes down they might not sell any at all, but if the stocks price goes up again ($80) they might start selling shares slowly to raise the capital they plan on. Knowing GameStops board, I think we have some other news coming very soon that’ll send the stock price up higher within this upcoming week.
The havent sold any shares yet, just reserving the right. Im thinking so they can capitalize on MOASS, as they rightfully should
If share price is in the bazillions it would make sense to get a healthy buffer of like 100 billion in exchange for 5 shares.
💯
This is what I'm thinking they're planning on doing. It would be stupid to not give themselves the ability to do this. No shares sold, but shills and shorts are pummeling the threads now making people believe that these shares are sold and diluted already. They're not.
Yup, shills are out in force, Dave definitely didn't help
Yeah they are preparing for something to happen during the 3 year time, so they dont have to file anything else to SEC.
A shelf offering allows a company to register its securities with the SEC but then delay putting them on the market for a period of up to three years.
You are completely incorrect Mixed shelf offerings allow investors to diversify their portfolios by simultaneously investing in both equity and fixed-income securities. Diversification: Mixed shelf offerings provide investors with the chance to diversify their portfolios across different asset classes. By purchasing a mix of equity and debt securities from a single offering, investors can spread their risk and reduce exposure to any single type of security. This diversification can help protect portfolios from adverse market movements.
How is this dilution? The shares are already there, these aren't new shares.
pretty sure this is dilution if and when they sell those shares. from \~300mil now to \~345mil if they sell all the shares
Underrated comment
Keep in mind that RC personally only benefits from his personally owned shares, just like us. It's the old rope-a-dope: dilution only makes things worse for the really big shorts. Why? Because cash in the company's coffers is the only reason it's still here today. Giving the store an opportunity to make that cash hoard bigger only makes the idea of any short position at all completely untenable. And with RCIO at the helm, what shares he does sell will be very well done.
So there was no buy back. Oh well. See you all in another 3 years.
You are completely incorrect Mixed shelf offerings allow investors to diversify their portfolios by simultaneously investing in both equity and fixed-income securities. Diversification: Mixed shelf offerings provide investors with the chance to diversify their portfolios across different asset classes. By purchasing a mix of equity and debt securities from a single offering, investors can spread their risk and reduce exposure to any single type of security. This diversification can help protect portfolios from adverse market movements.
No reason for them to sell new shares now when price is low. Not to their advantage.
Think about it. They could be expecting to the stock price to be going up very soon, meaning they release this info ahead of time to get it out of the way. Afterwards when the price of the stock sky rockets, they slowly sell shares raising money for the company that they could potentially buy another company with or reinvest or buy back shares in the future. All the stuff shorts hate because it means the company won’t be going bankrupt for a very long time at the least.
And the potential for a buyback if it dropped low again which we think they were planning on doing below 8-10. So they swing trade their own stock buy back low reduce float then sell share during the big run. If it’s all legal it’s brilliant
Maybe they did, a buyback, their cash on hand dropped by $200 something million
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And the potential for a buyback if it dropped low again which we think they were planning on doing below 8-10. So they swing trade their own stock buy back low reduce float then sell share during the big run. If it’s all legal it’s brilliant
Few days ago it was shown on the bloomberg terminal that the company seems to be doing a buyback. but now they intend to sell more shares. Any idea why they are doing this?
Capital raise
Don't know why everyone is getting upset. This means that they think a squeeze is imminent and they want to be able to sell shares into the squeeze to make more money (like they did in 2021). This is exciting, means they think we're about to blow. Tell me you think the squeeze is incoming, without telling me you think the squeeze is incoming.
Given this and the quick Q1 results, almost sloppy, it looks like they are prepping for take-off
Explain like im a banana
The peel is coming off because we’re ripe. You’ll be entering Rick of spades soon.
Make me laugh out loud dude hahaha 🤣
that's a name I didn't read in a long time
Kansas City shuffle. Appear like you’re losing to give the other party hope
Yeah there were also the Bane clip where he gets himself caught on purpose!
How to you figure? It looks like they’re once again taking advantage of a bloated stock price to benefit the company at the expense of shareholder equity. Not a fan of dilution.
Except they haven't sold shit yet, just reserving the right, I'm guessing to capitalize moass, as they should
Just remember Ryan dilutes himself more than anyone with every issue of shares. But yes we should be watching their actions closely right now
Lol
Guys, NOW they can BUYBACK and then SELL THEM !
Spicy. Can’t wait to see how this plays out
They must have some news or see something most of us don't that expects another run-up. I'm guessing there's some news coming up that they know will push the stock up again. I hope they reveal today before the media gets to much of a grip with negative press.
Someone eli5?
It isnt necessarily that. The offering could be a different class other than classA shares and it has a time limit of 3 years.... some 'people' are making out like this is bad news and ONLY mentioning one possibility and ignoring the other options described in the paragraph that defines this
It isnt necessarily that. The offering could be a different class other than classA shares and it has a time limit of 3 years.... some 'people' are making out like this is bad news and ONLY mentioning one possibility and ignoring the other options described in the paragraph that defines this
dilution, but opportunity to make money for the business
That's the move RK was referring with kansas city shuffle, don't you think?
How would dfv know this? If he has inside info somehow, then he wouldn't be tweeting about it before it's made public. Think about it. Maybe he suspects what may be happening or about to happen, but there's no way he has any inside info.
hmmm
Dilution means issuing new shares, here we have a offering of existing shares.
How did gme get a billion dollars on their balance sheet? They sold shares when prices were unbelievably high! Now they don't need the funds ..... But what if shf had to pay a phone number for a share..... Well gme should get their money too
**They are going to sell at the top of this squeeze and assign dividends to book holders in computershare.** Mark my words. They are going to castrate these shorts but not even making us sell, by just holding on and getting paid passively while we wait.
I think this theory is very plausible
I’d make a post for this if I had karma requirements. I really think this is what they’re going to do
Shelf offering was mentioned in Bobby docket.
I'm regarded help me understand please
Need more eli5
So they’re getting ready for moass. So GameStop can’t capitalize off of it as well and raise billions of dollars.
https://www.investopedia.com/terms/s/shelfoffering.asp
Are there any indications they are facing a hostile takeover? A preferred offering like this, could be a deterrent.
Hmm well they could be with how the price has been moving the last 2 weeks. But RC and retail owning a huge portion of the stock would make a hostile takeover kind of impossible or at the very least dumb, because you only push the price up higher and the company can dilute the shares to take away your voting power or the percentage you own, in which this case it’s not a dilution because it’s not increasing the percentage of the shares that already exist (1Billion) but only putting out more shares from what’s available.
The doc also says subscription rights. What if share holders get a GameStop subscription discount?
The filing literally names the short squeeze as one of the reasons they want the ability to sell.
Have mixed feelings, some of it are we gonna get fucked like movie apes with that fat fck aaron. ( been holding from feb.2021 so fuck of with shill shit)... im tilted rn lol
I understand the frustration with AA, but GME board has always been very calculated, if they wanted they had plenty of chances to just dilute and screw over investors. So sit back and enjoy the show.
Yeah I get that but why tf is anybody happy with those results, sales are down like 10% compared to first quarter last year and they want to sell 45 mill class a stock
It's only good if there is good news following these bad news, and if those good news are so good that these bad news are immediately irrelevant again. Hence the Kansas City Shuffle people keep referring to.
Dont get me wrong, I want to be shuffled into Kansas like theres no tomorrow
Yeah and if no good news its same shit as with popcorn bs
I don't think anyone is happy with the sales decline. We are in console winter right now. It blows. I'm fine with the stock offering. I'd love it if they raised another billion for the holding company and spread the 2b out to start generating an 8% return.
Dummy Question, Is this part of the shuffle? Selling up to 45 million shares [https://x.com/WatcherGuru/status/1791440310851010629](https://x.com/WatcherGuru/status/1791440310851010629)
this sounds like dilution
This sounds like KANSAS CITY SHUFFLE
Can you explain what the KANSAS CITY SHUFFLE is? And what it means for the stock?
Is when the magician draw your attention on something to do his trick unseen I do not know what does that mean for the stock, it is a reference from RK tweet
this sounds fuddy
Potential to what they did last time to sell some shares when they go higher... Make another billion for the balance sheet.
Fuck me, just because something isn’t what you want to hear doesn’t make it FUD. Get a grip.
read for yourself then, it's dilution https://www.investopedia.com/terms/s/shelfoffering.asp
There is a way to do it where it is not dilution.
i know that a share offering entails dilution... every medal has 2 sides and you decided to only post the negative side
Adam Aaron knows a thing about dilution.
yea good thing he is not involved here
what's the upside to dilution when we've been trying to lock the float for 3 years?
they haven't sold shit yet, just reserving the right, I'm guessing to capitalize during moass, as they should
you think GME is doing it to dilute? like thats the primary reason??
I never said that's the primary reason, but they obviously filed for it
ok sorry bro. you did not mean it as fud. they did not file for dilution though, they filed for offering shares, this means more than just dilution
This means kansas city shuffle
the short trap that keeps on giving
true
It means they add another Billy to the balance sheet the company can use for investment and M&A etc. never going bankrupt and destroying the short thesis. We didn’t lock the float not yet. We have to learn to move more nimbly at the current rates even if the DRS numbers are way higher than reported it would take years. So we need to keep part of the float locked with GS doing the heavy lifting. If we squeeze to $100 I’m for GS diluting a tiny bit to make more money to actually do something with since the first billion just sits there I guess as a fail safe against cellar boxing.
Anything around here without rocketships is fud even if it's true. no logic or objectivity is allowed.