JWCA advises GameStop on its $2.25 billion zero-coupon convertible issuance

June 2025 | read press release

Transaction Background

Following its record breaking inaugural convertible issuance in March 2025, GameStop (or the “Company”) successfully raised an additional $2.25bn in the convertible market at attractive terms (0.00% coupon and 32.5% conversion premium)

GameStop was able to take advantage of its recent strong share price performance and attractive underlying convertible market conditions to successfully execute the new issuance

The Company’s objectives included:

  • Raise unsecured attractive capital for general corporate purposes, including making investments consistent with GameStop’s Investment Policy

  • Lock in a 0% interest rate on debt for at least a 3.5-year duration

The Company engaged J. Wood Capital Advisors to assist in structuring, negotiation, documentation and market execution of the transaction

JWCA provided extensive analysis on deal structuring and related items, including:

  • Convertible structuring and documentation

  • Investor targeting and execution tactics (confidential marketing, public marketing)

  • Analysis and design of pricing mechanism (full-day VWAP, partial-day VWAP, closing price)

JWCA provided advice, support and analysis throughout the execution process

Results

GameStop’s second convertible offering of 2025 was extremely well received by investors:

  • The transaction attracted significant demand enabling the Company to upsize the transaction by ~29%

  • GameStop’s $3.75bn of zero-coupon debt raised across two transactions in less than a three-month period is a record for a U.S. convertible issuer

  • $3.75bn of issuance in 2025 also makes GameStop the #1 issuer of convertible debt in the market year to date

  • JWCA supported the management team on the entirety of the offering providing execution advice and ensuring a high-quality transaction outcome

This is JWCA’s second advisory assignment for the Company after advising GameStop on its debut convertible issuance in March 2025