(Bloomberg) – GameStop Corp. CEO George Sherman, who is expected to leave the struggling video game retailer, has sold nearly $ 12 million in shares, with the proceeds going to pay compensation-related taxes.
The 76,097 shares were withheld by GameStop with its establishment to cover taxes associated with the 2019 grant, according to a regulatory filing Friday. The shares were valued at $ 156.44 each, or about $ 11.9 million.
GameStop representatives did not immediately respond to a request for comment.
Activist investor Ryan Cohen, the new chairman of the company, is spearheading a turnaround effort at GameStop, which is looking for a new CEO to replace Sherman, people with knowledge said. Sherman forfeited about $ 98 million in compensation earlier this week after failing to meet performance targets.
Shares in GameStop have become a favorite among Reddit day traders this year, pushing the shares up despite shrinking sales and losses in the latest financial year.
(Correct details of the transaction beginning in the first paragraph.)
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