GameStop, a world-class video game retailer, has announced its plan to offer a $1.75 billion bond deal, through a private offering to qualified institutional buyers under Rule 144A of the Securities Act.
It is worth noting that GameStop intends to offer $1.75 billion in senior convertible notes due in 2032 through a private offering.
Initial purchasers may be granted an option to buy up to an additional $250 million in notes within 13 days of the issuance.
The press release dated June 11, 2025, notes that there will be no interest paid with a maturity period of June 12, 2032, and GameStop may settle conversions in cash, Class A common stock, or a combination of both.
Is GameStop planning to boost its Bitcoin stash?
Following the press release of GameStop offering $1.75 billion in senior convertible notes has sparked debate among experts, with some claiming this move is to buy more Bitcoin.
However, on the other hand, there are arguments that this development will help the company to expand its services in the gaming sector.
As per the available data, GameStop has announced the purchase of 4,710 Bitcoins valued at $513 million, which was its first official acquisition as treasury strategy.
The Texas-based gaming giant has said that the proceeds from the offering will be used for general purposes, which will also include making investments in a manner GameStop’s investment policy and potential acquisitions.
Till writing, the Bitcoin stash of GameStop was valued at $506.96 million, a slight decline in the amount invested to buy this spree.
A quick update on GameStop (GME) stock price
According to the data from TradingView, GameStop Corp stock lost 5.31% of its price in the last trading session and closed at $28.55.
Source: TradingView
The data indicates a decline of 4.52% in GME stock in a week, and in the YTD frame, it lost 10.33% of its price; at the time of writing, the prices are up above its 20, 50, 100, and 200-day exponential moving averages.
It is noteworthy that the annual price target of GME stock was $13.50%, which was surpassed a few weeks earlier and is now 52% above the target.
In Q1, 2025, GameStop Corp has reported $732.40 million in revenue with a net income of $44.80 million and a net margin is 6.12%; yet the revenue of the company in last quarter of 2024 was $1.28 billion with a net income of $131.30 million and net margin of 10.24%.
In the ongoing year, GameStop is expected to generate $3.52 billion in revenue, and the EPS is $0.72, which was $0.07 in 2024.
As per the data available on Companiesmarketcap(dot)com, the market cap of GameStop is $12.77 billion, which is down by 11.23% in 2025. The cap was $14.38 billion by 2024 end.
