Investor Ryan Cohen has confirmed he sold his entire stake in retailer Bed Bath & Beyond Inc. for a profit of more than $58 million and shares tumbled for the second straight day in after-hours trading on Thursday.
A filing with the Securities and Exchange Commission, released after market close on Thursday, showed that Cohen sold his entire stake in Bed Bath & Beyond BBBY, -19.63%, in Tuesday and Wednesday’s regular trading sessions. An SEC filing released Wednesday afternoon showed that Cohen’s RC Ventures planned to sell its stake, which it acquired in an activist campaign from Cohen in the first quarter.
Shares of Bed Bath & Beyond fell 19.6% in regular trading on Thursday and then plunged 45% in after-hours trading.
According to Thursday’s filing, Cohen sold 7.78 million shares at weighted average prices ranging from $18.68 to $29.22 after buying them at weighted average prices ranging from $13.08 to $17.25 during the first quarter of the year would have. The sale of the shares netted him $58.65 million, according to calculations by the Dow Jones Market Data Group.
According to Dow Jones Market Data Group, Cohen also sold call options he owned on Bed Bath & Beyond and made a profit of nearly $95,000 on those trades.
Cohen is best known for founding online pet business Chewy Inc. CHWY, -4.68%, and became a favorite of investors on Reddit after buying into struggling retailer GameStop Inc. GME, -6.39% , where he now serves as Chairman. When he bought Bed Bath & Beyond stock earlier this year, he sent the company’s board of directors a letter asking for specific changes to the turnaround plan, including a narrower focus and a possible spin-off.
In its own SEC filing Thursday morning, Bed Bath & Beyond issued a statement in response to media inquiries about Cohen’s filing, which said, “We were pleased to reach a constructive agreement with RC Ventures in March and are committed to maximize value for all shareholders. ”
“We continue to execute on our priorities to improve liquidity, make strategic changes and improve operations to win back customers and increase cost efficiencies; everything to restore our company to its legacy as the best home destination for all stakeholders,” the statement said. “In particular, we have been working expeditiously with external financial advisors and lenders over the past few weeks to strengthen our balance sheet and the company will provide further information in an update later this month.”
Bed Bath & Beyond does not list any future presentations on its Investor Relations page. The company last reported quarterly earnings in late June, when it announced a new chief executive officer and bigger-than-expected losses.
Despite the retail chain’s woes, shares in Bed Bath & Beyond have warmed in recent weeks. It more than tripled in August by Thursday’s close, up 268.8%; it’s up 27% year-to-date compared to the S&P 500’s SPX, +0.23%, 10% down.