Bye Hot Topic! ThinkGeek has been acquired by GameStop

Gamestop ThinkGeek

Geeknet, the company that owns the popular geek retailer ThinkGeek and ThinkGeek Solutions, will now be acquired by GameStop for a total of approximately $140 million – offering to buy the company’s shares for $20 per share. Hot Topic previously made a deal to acquire the online company for about $122 million, but GameStop offered a better deal last minute – including to pay for Hot Topic’s termination fee to cancel their agreement.

Video game retailer GameStop have begun expanding their business to include collectibles, retro-gaming, and regular electronics. With the new deal with ThinkGeek, GameStop will be able to grow and expand to a larger audience. ThinkGeek does carry a wide variety of video game-inspired products, including Minecraft, Portal 2, and Mass Effect. With the new acquisition, this may allow both companies to expand in the geek retail world.

Paul Raines, chief executive officer of GameStop, made in a statement released today, “This acquisition creates value to all stakeholders involved. The addition of Geeknet is an important expansion of our global multichannel platform and we are excited to leverage their product development expertise to broaden our product offering in the fast-growing collectibles category and deepen relationships with our existing customer base.”

In the same press release, Kathryn McCarthy, chief executive officer of Geeknet, commented, “Our Board and management team believe this transaction is in the best interest of Geeknet and its stockholders. As a part of GameStop’s family of brands, Geeknet will be well-positioned to achieve our goals of increasing our brand awareness and expanding our product offerings.”

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Laura Sirikul
Laura Sirikul 1849 posts

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