(Reuters) - Meme stock GameStop ( GME ) soared nearly 20% in premarket trading on Tuesday after the struggling videogame retailer said it had raised over $900 million from selling its shares during the market rally earlier this month.

GameStop ( GME ) surged as much as nearly six times its value in the first two weeks of May, partly fueled by the online return of "Roaring Kitty" Keith Gill, a key figure in the 2021 retail trading frenzy.

The stock has since lost 70% of its value up to Friday's close, taking GameStop's ( GME ) market value to $5.82 billion.

The company said it had raised $933.4 million after it completed its previously disclosed offering for 45 million shares. It intends to use the proceeds for general corporate purposes, which may include acquisitions and investments.

The brick-and-mortar retailer has been grappling with customers turning to e-commerce firms to buy video games and collectibles. It said earlier this month that it expected its first-quarter net sales to drop to between $872 million and $892 million, from $1.24 billion a year ago.

Tuesday's move could hurt short sellers of GameStop's ( GME ) shares, who bet on a stock's decline.

About 20.5% of GameStop's ( GME ) publicly available shares were in a short position, data from analytics firm Ortex Technologies showed.