By Medha Singh and Bansari Mayur Kamdar

Aug 16 (Reuters) - Shares of Bed Bath & Beyond Inc surged 60% to a near five-month high in volatile trading on Tuesday, as retail investors flocked to the stock after a filing discussed activist investor FIFA World Cup Ryan Cohen's bet on the home goods retailer.

The stock rose as much as 78.8% to $28.60 during the session and FIFA World Cup trading was halted multiple times for volatility.

Cohen's investment vehicle RC Ventures, which is the second largest investor FIFA World Cup in the company and has added three independent directors to its board, bought call options expiring in January 2023 on 1.67 million shares with a strike price ranging from $60 to $80.

Cohen had disclosed the options purchases in March.

An option gives the buyer the right to buy or sell a security at a given price on a given date.

Buying a call option is essentially betting the underlying asset will rise in price.