January 29, 2019 GMT
GameStop ends pursuit of sale, shares slide in early trade
NEW YORK (AP) — Shares in GameStop are getting hammered after the video game retailer says it is no longer pursuing a sale of the company. GameStop shares have fallen more than 20 percent in premarket trading.
The company said Tuesday that securing acceptable financing terms for prospective buyers made selling GameStop too difficult.
Although its shares jumped last month when it announced it had sold its Spring Mobile business for $735 million, the Grapevine, Texas company’s stock has lost about two-thirds of its value since 2015. More and more, gamers are bypassing retail shops for games and gear that can be downloaded or ordered online.
GameStop Corp. also said it is continuing its search for a chief executive.