Major Investor Sells Off Half A Billion Dollars In Chewy Stock

Online pet supplies retailer Chewy (CHWY) announced that a patient connected to its biggest shareholder was trading disconnected half a cardinal dollars successful stock.

The institution said that Buddy Chester Sub LLC, an entity affiliated pinch costs advised by apical investor BC Partners Advisors LP, was putting up a nationalist offering weighted astatine $500 million. In addition, nan underwriters person a 30-day action to get different $75 cardinal successful stock.

Chewy explained that concurrently, it would bargain backmost $50 cardinal worthy of shares from Buddy Chester. Those shares would beryllium priced astatine what nan underwriters pay, and "will beryllium cancelled and retired upon completion of nan Concurrent Repurchase."

Chewy added that nan $50 cardinal acquisition is being executed separately from its existent $500 cardinal share repurchase program, which began successful May and will not beryllium affected by that transaction.  

Shares of Chewy initially declined Thursday greeting but reversed people and precocious edged higher. They person added astir much 40% of their worth this year. The banal value has been impacted by cryptic societal media posts and a short-lived investment by meme banal leader "Roaring Kitty," a.k.a. Keith Gill.