GameStop Announces $2.25 Billion Notes for Future Investments, Growth

• GameStop increases convertible note offering from $1.75B to $2.25B, potentially raising to $2.68B with overallotment.
• The funds will be used for general corporate activities, strategic investments, and potential acquisitions.
• Notes carry no interest, mature in 2032, and can convert into shares under specific conditions.

GameStop Corp. is announcing an expansion of its previously disclosed private offering of convertible senior notes to $2.25 billion from $1.75 billion.

The action is designed to support the company’s overall financial flexibility while positioning it to pursue an assortment of corporate purposes. Subject to final conditions, the offering is expected to close on June 17, 2025.The unsecured notes, maturing in June 2032, will not accrue interest, nor will their principal amount grow over time. Holders will be granted conversion rights under specific conditions, with the option to convert into GameStop Class A common shares or cash, depending on the company’s decision.

The initial conversion premium reflects sharply above GameStop’s average trade price, which serves to emphasize investor belief in the company’s future value upside.

GameStop also gave the initial buyer an option to purchase as much as $450 million in additional notes. If this overallotment is exercised, net proceeds could be as high as $2.68 billion.