GameStop has entered into privately negotiated agreements to exchange approximately $1.4 billion of its convertible senior notes for shares of its Class A common stock. This transaction will reduce the company's long-term debt and cancel the exchanged notes without any cash outlay.
Key Details
- Agreement: The company will exchange $400 million of its 0.00% Convertible Senior Notes due 2030 and $1.0 billion of its 0.00% Convertible Senior Notes due 2032 for stock.
- Financial Impact: The exchange reduces GameStop's outstanding long-term debt by approximately $1.4 billion. Following the exchange, about $2.8 billion in these notes will remain outstanding.
- Timeline & Terms: The transaction is expected to close on or about September 23, 2026. The final number of shares to be issued will be determined based on the stock's volume-weighted average price over a 35-day period starting August 3, 2026.