Geeknet Ends Deal With Hot Topic, Takes GameStop Offer

Geeknet Inc., parent company of ThinkGeek and ThinkGeek Solutions, has ended its agreement to be purchased by Hot Topic so it can accept a higher bid from video game retailer GameStop.

Geeknet announced Tuesday that Grapevine-based GameStop will pay $20 per share, or about $134.6 million. The companies put the deal's value at approximately $140 million.

Last week Hot Topic Inc. agreed to buy Geeknet for $17.50 per share, or $117.3 million. But Geeknet received a $20-per-share offer a day later, although the bidder's name wasn't named at the time.

Geeknet said Tuesday that after talks with GameStop and Hot Topic, its board decided that the GameStop deal was a "superior proposal."

The boards of Geeknet and GameStop have approved the transaction.

Copyright AP - Associated Press
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