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GameStop Announces $1.3 Billion Fundraising Plan to Purchase Bitcoin

GameStop Corp. (NYSE: GME) announced today that it intends to raise $1.3 billion through a private offering of convertible senior notes and will use the net proceeds from this offering for general corporate purposes, including the acquisition of Bitcoin. The move comes a day after the company revealed an update to its investment policy, allowing Bitcoin to be used as a treasury reserve asset.

The offering consists of $1.3 billion aggregate principal amount of 0.00% Convertible Senior Notes due in 2030. Additionally, the company plans to grant initial purchasers an option to buy up to $200 million more in notes within a 13-day period from the first issuance date. The notes will be general unsecured obligations and will not bear regular interest or accrete in value. They will mature on April 1, 2030, unless converted, redeemed, or repurchased earlier.

Upon conversion, GameStop will have the option to settle in cash, shares of its Class A common stock, or a combination of both. The initial conversion rate and other terms will be determined at the time of pricing. The company stated that it expects to use the U.S. composite volume-weighted average price of its stock from 1:00 p.m. to 4:00 p.m. Eastern Daylight Time on the pricing date as the reference for the initial conversion price.

GameStop emphasized that neither the notes nor any shares of common stock issuable upon conversion have been or will be registered under the Securities Act of 1933 or any state securities laws. As a result, they may not be offered or sold in the United States without registration or an applicable exemption. The company also stated that there are no assurances that the offering will be completed as described or at all.

This marks a significant financial decision for GameStop as it pivots toward integrating Bitcoin into its corporate strategy. A strategy pioneered by Strategy’s Michael Saylor, who met with GameStop’s CEO Ryan Cohen in person last month, and has definitely appeared to have had an influence on the GameStop’s decision to embrace BTC as a reserve asset.

This post GameStop Announces $1.3 Billion Fundraising Plan to Purchase Bitcoin first appeared on Bitcoin Magazine and is written by Nik.

The post GameStop Announces $1.3 Billion Fundraising Plan to Purchase Bitcoin appeared first on BTC Ethereum Crypto Currency Blog.

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Filed under: News - @ March 27, 2025 4:25 pm