GameStop (GME) is preparing for a bold acquisition that could involve exchanging its bitcoin holdings for a significant investment in the consumer industry.
During an interview with CNBC last week, CEO Ryan Cohen revealed plans to acquire a publicly traded consumer company described as “very, very, very large” — one that has the potential to elevate GameStop’s market value into the hundreds of billions. Cohen emphasized this move as “transformational,” not only for GameStop but also within capital markets, calling it an unprecedented strategy.
This announcement contributed to an over 8% surge in GME’s stock price on Monday, pushing its year-to-date gains up to 25%. This recovery offsets much of the decline experienced since late May when GameStop disclosed purchasing 4,710 bitcoins valued at $428 million at that time.
Cohen did not reveal which company is targeted but mentioned he seeks one with undervalued shares, solid fundamentals, and what he termed a “sleepy management team.” The objective is to enhance efficiency by leveraging GameStop’s financial resources along with its governance and operational skills.
What stands out about Cohen’s vision from a cryptocurrency perspective is that it may signal the conclusion of GameStop’s involvement with bitcoin.
Recent blockchain data indicated that GameStop moved all of its bitcoin assets—now worth approximately $368 million—to Coinbase Prime last week. This action sparked immediate speculation about an impending sale of those assets.
When asked if selling bitcoin would finance the acquisition, Cohen refrained from giving a definitive answer. He told CNBC he was “not prepared to say,” adding that their new strategic direction is far more attractive than continuing with bitcoin investments.