Video game retailer GameStop has raised funds to create a Bitcoin reserve, following Strategy’s example.
On April 1, GameStop announced the completion of a $1.5 billion offering in senior convertible bonds, with the stated goal of using part of the proceeds to purchase bitcoin for its corporate treasury.
The announcement follows last week’s statement, when GameStop added Bitcoin to the list of acceptable assets for its treasury, revealing its initial plan to raise $1.3 billion. According to the SEC filing on Tuesday, an additional $200 million in securities was sold, as provided for in the option originally reserved for initial buyers.
The sale of senior convertible bonds, set to mature on April 1, 2030, netted GameStop approximately $1.48 billion after deducting initial buyer discounts and corporate expenses. As previously stated, the company “intends to use the net proceeds from the offering for general corporate purposes, including the acquisition of Bitcoin.”
A model inspired by Strategy
By issuing senior convertible bonds to finance the purchase of bitcoin, GameStop is following the example of Strategy (formerly MicroStrategy), the public company with the largest amount of bitcoins in its treasury. Currently, Strategy holds 528,185 BTC, equivalent to approximately $45 billion.
Last February, GameStop CEO Ryan Cohen shared on X a photo of a meeting with Michael Saylor, co-founder and executive chairman of Strategy.
