Sign Up on MEXC
Highlights
- GameStop has confirmed plans to raise $1.75 billion via convertible senior notes.
- There is speculation that the new raise will be deployed toward buying additional Bitcoin.
- GameStop has purchased 4,710 BTC for $516m in an attempt to mirror Michael Saylor's Strategy.
Barely 24 hours after announcing a massive Bitcoin purchase, GameStop has revealed its intention to raise $1.75 billion from investors. While the exact purpose of the raise is not explicitly stated, growing optimism suggests it will fund the company’s ongoing Bitcoin accumulation strategy.
GameStop Leans on Convertible Notes for $1.75 Billion Raise
Video game retailer GameStop is turning to debt offerings to raise nearly $2 billion following its lukewarm Q1 2025 financial results. According to a press release, the company is offering $1.75 billion worth of convertible senior notes in a private placement to investors.
According to the report, the investors are “qualified institutional buyers,” with GameStop also offering an additional $250 million in notes within 13 days of the initial issuance. GameStop’s disclosure notes that the convertible notes will not bear regular interest and will mature in mid-2032.
The press release states that the funds raised from the convertible senior notes will be reinvested in line with the company’s investment policy. Recently, GameStop acquired 4,710 BTC, fueling speculation that the new capital raise is aimed at supporting its Bitcoin accumulation efforts.
“GameStop intends to use the net proceeds from the offering for general corporate purposes, including making investments in a manner consistent with GameStop’s Investment Policy and potential acquisitions,” the press release reads.
GME Stock Down, but Bitcoin Accumulation Spree Gathers Steam
Despite the proposed $1.75 billion private offering, GameStop’s stock has taken a significant hit over the past day. GME is trading at $28.55, down 5%, with the Bitcoin purchase announcement failing to boost share prices.
A disappointing Q1 performance has added to the downward pressure on GME. GameStop’s revenue for the quarter fell short of Wall Street expectations as the company continued to struggle in its core gaming segment due to the growing shift toward digital gaming and streaming services.
Several companies with an interest in Bitcoin are raising funds to power their BTC purchase, led by Michael Saylor’s Strategy. Last week, Trump Media raised $12 billion for a probable Bitcoin purchase for its treasury operations.
Meanwhile, Metaplanet is raising $5.4 billion to fund its Bitcoin acquisition spree as the scramble to accumulate BTC intensifies. Strive Asset Management, Strategy, and Semler Scientific are leaning on debt offerings to raise money for their Bitcoin operations.
- BNB Hits New ATH As Binance Partners With $1.6T Franklin Templeton
- Crypto Market, S&P 500 Rally as PPI Data Fuels Rate Cut Hopes
- Breaking: U.S. PPI Cools To 2.6%, BTC Price Rises
- Traders Brace for Hot US PPI amid Sticky Inflation, Risks BTC, ETH, XRP Liquidations
- Shiba Inu Releases Update On LEASH V2 Migration, Here Is What To Know
- Can Dogecoin Price Hit $1 as Derivative Volume Jumps Ahead of DOGE ETF Launch
- Bitcoin Price Prediction Eyes $150K as Trump Calls for Aggressive 100 BPS Rate Cut
- Solana Price Prediction: Can Nasdaq Listing and $94M Holdings Propel SOL Toward $400?
- Meme Coin Price Prediction: Shiba Inu, Pepe Coin, Dogecoin, TRUMP
- HYPE Price Eye $88 the Next as Lion Group’s Treasury Shifts to Hyperliquid
