GameStop Bets Big on Bitcoin with a $1.3B Purchase Plan
The post GameStop Bets Big on Bitcoin with a $1.3B Purchase Plan appeared on BitcoinEthereumNews.com.
Video game retailer GameStop has filed to raise $1.3 billion through Convertible Senior Notes to fund Bitcoin acquisitions. A press release on March 26 states that the offering consists of zero-coupon convertible senior notes maturing in 2030. Investors will have the option to convert the notes into GameStop’s Class A common stock at a later price, and GameStop will retain the flexibility to settle conversions in cash, shares, or a combination of both. Following the announcement, GameStop stock (GME) surged over 11% to trade at $28.36. Strategic Shift Toward Bitcoin While the debt offering aims for a $1.3 billion raise, it could go as high as $1.5 billion. As stated in the release, the company plans to give the initial purchasers the option to purchase up to $200 million in extra notes. “GameStop expects to use the net proceeds from the offering for general corporate purposes, including the acquisition of Bitcoin in a manner consistent with GameStop’s Investment Policy,” the company said in the release. The Fortune 500 company had earlier hinted at a decision to add Bitcoin to its treasury reserve. On March 25, the company said that its board unanimously approved an update to add Bitcoin to its investment policy. The approval came over a month after CNBC reported that GameStop is considering investment in alternative asset classes, including Bitcoin. GameStop CEO Ryan Cohen also signaled this growing interest, meeting recently with Michael Saylor, Strategy’s co-founder and leading advocate for corporate Bitcoin adoption. GameStop’s Crypto Push GameStop has now joined a growing list of public companies raising funds via debt instruments to acquire Bitcoin. The move is led by Strategy, a US-based software company that has bought over $40 billion worth of Bitcoin. Semler Scientific, MARA Holdings, and Riot Platforms have also taken similar routes. GameStop previously explored…
Filed under: News - @ March 27, 2025 10:27 pm