GameStop has completed a convertible debt offering raising $1.5 billion, with plans to invest some proceeds in Bitcoin.
Details of the Debt Offering
GameStop raised $1.5 billion through convertible notes, exceeding the initial $1.3 billion target. The notes can be converted into equity and will mature on April 1, 2030.
Market Reaction to Announcement
GameStop's stock saw a slight increase of 1.34% closing at $22.61, with an additional 0.5% uptick after hours trading.
GameStop's Cryptocurrency Strategy
The company plans to acquire Bitcoin in line with their investment policy but has acknowledged risks due to the asset's volatility.
Bitcoin is a highly volatile asset and has experienced significant price fluctuations over time. Our Bitcoin strategy has not been tested and may prove unsuccessful.GameStop
GameStop is pursuing its cryptocurrency investment strategy despite potential risks associated with Bitcoin volatility.
