GameStop Exchanges $1.4B Convertible Notes

GME GameStop to Exchange $1.4 Billion of Convertible Notes for Equity ⠀ • GameStop agreed to privately exchange approximately $1.4 billion of outstanding convertible senior notes for Class A common stock. • The transaction includes $400 million of 2030 notes and $1.0 billion of 2032 notes and is expected to reduce long-term debt by approximately $1.4 billion without using cash. • The number of shares issued will be based in part on the average VWAP over a 35-trading-day reference period beginning August 3, subject to a per-share price floor. • GameStop said participating noteholders may hedge or unwind positions through open-market stock or derivative transactions, which could materially impact the share price.