GameStop (NYSE:GME) on Wednesday said it intends to offer $1.75 billion aggregate principal amount of 0.00% convertible senior notes due 2032 in a private offering.
GME -6.69% after hours to $26.64.
The notes, which will mature on June 15, 2032, will be general unsecured obligations of GameStop, will not bear regular interest and the principal amount of the notes will not accrete.
Upon conversion, GameStop will pay or deliver, as the case may be, cash, shares of GameStop’s Class A common stock, par value $.001 per share, or a combination of cash and shares of Class A common stock.
The initial conversion rate, repurchase or redemption rights and other terms of the notes will be determined at the time of pricing of the offering.
GameStop intends to use the net proceeds from the offering for general corporate purposes.
