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GameStop (GME) stock crashes almost 25% in single day following private note offering announcement

The company recently announced it would offer around $1.3 billion worth of convertible senior notes.

TJ Denzer

March 27, 2025 12:15 PM

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This has been a strange week for GameStop, and arguably one of unforced errors. The group announced its earnings results earlier this week, sharing news of back-to-back yearly profitability and a wealth of cash at its disposal. However, GameStop then announced later in the week that it would be doing a private offering of around $1.3 billion of convertible senior notes. Where GameStop stock started the week climbing from its original, it has since plunged over 25 percent in one day to its lowest position in over a month.

GameStop’s stock plunge could be seen throughout Thursday, March 27, 2025. GME stock began the week at $25.50 per share on Monday, and even climbed to a high of $29.39 per share later in the week. However, following the release of its intention to do the $1.3 billion private convertible senior notes offering, the stock gave up all gains for the week and plunged to a low of $21.32 per share as of this writing.

Perhaps the most confounding part of GameStop’s dip this week is that it seems to come as a direct result of strange decisions by GameStop. The company has raised cash several times before and was sitting on $4 billion before the recent private offering announcement. The decision has left many scratching their heads as the company also announced intention to add Bitcoin to its balance sheet as a treasury asset, years after the popular cryptocurrency gained traction and still continus to reach record-high values.

GameStop valuations tanking as they have today almost entirely seem to be the results of these recent decisions by the company and the market’s reaction to those decisions so far. As we watch to see if GME pivots or recovers, stay tuned for more news and updates right here at Shacknews.

TJ Denzer

Senior News Editor

TJ Denzer is a player and writer with a passion for games that has dominated a lifetime. He found his way to the Shacknews roster in late 2019 and has worked his way to Senior News Editor since. Between news coverage, he also aides notably in livestream projects like the indie game-focused Indie-licious, the Shacknews Stimulus Games, and the Shacknews Dump. You can reach him at tj.denzer@shacknews.com and also find him on BlueSky @JohnnyChugs.