TechFlow news — On March 27, according to an official announcement, GameStop Corp. (NYSE: GME) revealed plans to privately offer $1.3 billion in aggregate principal amount of 0.00% convertible senior notes due 2030 to qualified institutional buyers. GameStop stated that the proceeds will be used for general corporate purposes, including purchasing bitcoin in accordance with the company's investment policy.
The announcement also indicated that GameStop will grant the initial purchasers of the notes an option to purchase up to an additional $200 million in notes within 13 days of the initial issuance date. The notes will constitute GameStop’s general unsecured obligations, will not bear regular interest, and their principal amounts will not accrue.
The notes will mature on April 1, 2030, unless earlier converted, redeemed, or repurchased. Upon conversion, GameStop may elect to settle in cash, shares of Class A common stock, or a combination thereof. The initial conversion rate, any repurchase or redemption rights, and other terms will be determined at the time of pricing.
