GameStop shares climbed 5.4% after the company announced amendments to exchange agreements covering approximately $1.4 billion in convertible senior notes. Under the revised terms, noteholders will receive about 55.5 million Class A common shares, representing roughly 73% of total consideration, and $358.4 million in cash, or the remaining 27%. The transaction is expected to close on or around September 3, 2026. Using cash reduces the number of shares GameStop would need to issue compared with a fully equity-based settlement, limiting dilution for existing shareholders. The cash will come from reserves that GameStop estimates at $5.05 billion to $5.07 billion in cash and marketable securities. The exchange covers part of the company’s 0.00% Convertible Senior Notes due in 2030 and 2032. After closing, approximately $2.8 billion of convertible notes will remain outstanding, including about $1.1 billion due in 2030 and $1.7 billion due in 2032. GameStop also released preliminary unaudited Q2 2026 figures, projecting net sales of $780 million to $800 million, down from $972.2 million a year earlier, and operating income of $150 million to $170 million, up from $66.4 million. Projected net income of $290 million to $310 million compares with $168.6 million in the prior-year quarter. The difference between projected operating and net income points to non-operating gains, likely including investment returns on the company’s cash and securities holdings, according to the source.