/biz/ - Business & Finance

>>27315679
>>27316033

Companies raise money to do things buy issuing new shares. It's better than going into debt for various reasons. In theory it makes the shares worth MORE because (company+extra_cash)/new_and_old_shares is worth more than company/old_shares

i.e. they can use the $600 million dollars to do new projects that will make more money. If gamestop has any balls they will do the same to raise money for their new business model.