GameStop (GME) shares came crumbling down more than 22% on Thursday after the gaming merchandise retailer disclosed plans of a convertible notes offering to raise as much as $1.75 billion. While not explicitly mentioned in the press release,

The notes are convertible into shares, or a mix of stock and cash, though exact terms were not disclosed. Investors responded negatively, with the stock down 5% during Tuesday's regular session before falling another 11% after hours.

GameStop shares are dropping 20% Thursday morning, a day after the video-game retailer announced a new fundraising effort.