GameStop Corp ( GME ) shares are falling Thursday after the company announced a proposed private offering.

What Happened: GameStop ( GME ) announced plans to offer $1.3 billion worth of its 0.00% convertible senior notes due 2030 in a private offering to institutional investors. The company intends to grant the initial purchasers a 13-day period to purchase up to an additional $200 million of the notes.

GameStop ( GME ) said it expects to use the net proceeds from the offering for general corporate purposes, including to purchase Bitcoin (CRYPTO: BTC) under its newly-announced crypto strategy.

On Tuesday, GameStop ( GME ) reported fourth-quarter earnings and announced the approval of Bitcoin as a treasury reserve asset. The company noted that it planned to use a portion of its cash or future debt and equity issuances to invest in Bitcoin.

GameStop ( GME ) shares surged after the company announced the Bitcoin pivot, but the stock gave back some of its gains after the company announced the details of how it planned to secure funds for its Bitcoin strategy.

“We have not set a maximum amount of Bitcoin we may accumulate, and may sell any Bitcoin we may acquire,” the company said in the filing.

Investors have been speculating about a potential Bitcoin strategy from GameStop ( GME ) ever since CEO Ryan Cohen posted a picture with Strategy's Michael Saylor on X last month.

Related Link: GameStop Follows MSTR’s Footsteps: Why Will Investors Buy Convertible Notes With No Interest?

GME Price Action: GameStop ( GME ) shares closed Wednesday up 11.7%. The stock was down 10.5% at $25.37 at the time of publication Thursday morning, according to Benzinga Pro.