GameStop shares drop after announcing convertible notes offering for bitcoin strategy.

From CNBC: 2025-06-12 08:22:00

GameStop shares dropped after announcing a $1.75 billion convertible notes offering to fund a new bitcoin purchase strategy. The stock tanked over 15% in premarket trading. GameStop aims to add cryptocurrencies to its balance sheet, following MicroStrategy’s lead. CEO Ryan Cohen cites bitcoin as protection against risks. Revenue fell 17% in the first quarter, causing uncertainty on Wall Street. Wedbush analyst Michael Pachter maintains underperform rating, questioning the bitcoin strategy.

Read more: GameStop shares tank on convertible bond offering to potentially buy more bitcoin