According to a letter obtained by the Wall Street Journal, Permit Capital Enterprise Fund and Hestia Capital Partners are asking for a refresh on the company’s board and increase stock buybacks to return more value to shareholders.
The investors wrote:
“Surveying the last five years, we struggle to identify any significant steps the company has taken—besides the introduction of collectibles—to adapt to disruptive dynamics in its core business.”
The investors also said that the company’s inability to find a buyer is “a failure.” Both Permit Capital Enterprise Fund and Hestia Capital Partners collectively own 1.3% of GameStop and have until March 28 to nominate new directors to GameStop’s board.
