No. of Recommendations: 5
GameStop would use the $9 billion it has in the bank and borrow the remainder from TD Bank, which has committed up to $20 billion to the deal.
TD has not guaranteed the $20m. They have provided a letter of “confidence” for the proposal. This is not unusual in these sorts of things, and if the deal wobbles at all the letter will be withdrawn. There is no contract, and no liability on TD’s part until such a deal comes to pass, which it may never. At this point TD can withdraw without penalty, except for pissing off a customer.
