GameStop shares tank 22% after boosting raise to $2.25B for Bitcoin strategy

Video crippled and user electronics retailer GameStop has accrued its planned backstage convertible enactment offering to $2.25 billion, signaling a deeper committedness to gathering retired its firm Bitcoin treasury.

GameStop upsized its backstage convertible enactment offering to $2.25 cardinal connected Thursday, with the income of the notes expected to adjacent connected June 17.

The video crippled retailer expects to rise astir $2.23 billion, oregon $2.68 cardinal if the archetypal purchasers workout their enactment to acquisition further notes successful full.

The notes are acceptable to mature connected June 15, 2032. This marks a adjacent $500 cardinal upsizing from the archetypal $1.75 cardinal note offering that GameStop announced connected Wednesday.

Related: Blockchain Group adds $68M successful Bitcoin to firm treasury

The implicit $2 cardinal financing circular comes 2 weeks aft GameStop announced the acquisition of 4,710 Bitcoin (BTC) valued astatine astir $513 cardinal connected May 28, 2 months aft the steadfast confirmed plans to make a BTC treasury strategy connected March 2.

GameStop plans to usage the $2.25 cardinal for “general firm purposes, including making investments successful a mode accordant with GameStop’s Investment Policy,” which whitethorn awesome much Bitcoin investments from the video crippled giant.

Source: Bitbo

The video crippled retailer is already the world’s 11th largest firm Bitcoin holder down Galaxy Digital Holdings, Bitbo information shows.

Strategy announces pricing of IPO stock. Source: Strategy

Strategy, the world’s largest firm Bitcoin holder, has besides been leveraging akin indebtedness financing strategies to bargain much Bitcoin. On June 6, Strategy announced an upsized banal offering of astir $1 billion, quadrupling the erstwhile $250 million, Cointelegraph reported.

Related: ‘Apple should bargain Bitcoin,’ Saylor says, arsenic stock buyback disappoints

GameStop shares plunge 22% aft enactment upsizing

GameStop’s shareholders are seemingly unhappy with the $2.25 cardinal rise contempt Bitcoin’s imaginable to bolster a company’s equilibrium sheet.

GameStop’s stock terms fell implicit 22% connected June 12 aft the archetypal $1.75 cardinal circular was announced, Google Finance information shows.

GameStop shares, 1-day chart. Source: Google Finance 

GameStop’s stock terms has been lacking upside momentum since the institution reported mixed net results for the archetypal 4th of 2025.

GameStop's nett income diminution year-on-year. Source: GameStop 

GameStop reported revenues of $732.4 cardinal year-to-date, little than expert estimates of $754.2 cardinal and a 17% diminution compared to its $881.8 cardinal revenues astatine the aforesaid clip past year. IG Bank attributed this to slowing carnal crippled sales.

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