GameStop stock soars—but not because of Reddit this time

GameStop stock saw another notable spike Monday morning, but this time, it had nothing to do with Reddit’s r/WallStreetBets community.

Shares in the video game retailer were up 17% in midmorning trading after the company announced it had formed a committee headed by Chewy founder Ryan Cohen that will seek out initiatives that can help GameStop continue its transition beyond its brick-and-mortar origins.

Called the Strategic Planning and Capital Allocation Committee, the announcement also hints at an evolving power structure at the retailer. GameStop CEO George Sherman, who also sits on the board, was not mentioned at all. And the committee was credited for the upcoming exit of chief financial officer Jim Bell as well as a series of recent hires who will lead the customer care and e-commerce fulfillment divisions.

One of those hires, Kelli Durkin, was one of Chewy’s original employees and rose to the position of vice president of customer service. She will head customer care for GameStop.

“The Committee will continue to focus on identifying actions that can transform GameStop into a technology business and help create enduring value for stockholders,” the update read. “It is responsible for evaluating areas that include GameStop’s current operational objectives, capital structure and allocation priorities, digital capabilities, organizational footprint, and personnel.”

Cohen acquired a sizable holding in GameStop last year, investing $76 million in the company when its shares were trading at an average of just $8.43.

That investment sparked an interest in the stock and was one of many drivers that helped fuel the recent massive run-up in its price.