GoPro, Inc.’s GPRO shares have been on a roll since early Monday morning, August 31 Bloomberg reported that YouTube creator Mark Fischbach, known as Markiplier, had increased his stake in the digital camera and lifestyle company to 8.5 percent stake, which would make him GoPro’s largest individual shareholder. The $9.3 million stake was first disclosed via a Schedule 13G filing dated August 20.

Digital news outlet 24/7 Wall St. said in their reporting that Fischbach has said he considers GoPro undervalued and wants the company to succeed, though he was not taking an activist posture and isn’t seeking board representation. The excitement came as analysts and investors realized that the YT influencer has an audience of tens of millions, and the disclosure gave that base a concrete reason to pile into a broken-down small cap that was already sitting near its all-time lows. It sounded like the beginnings of another meme stock.

“That mix of retail attention and a genuine 8.5 percent ownership filing helps explain why the move extended so far into after-hours trade Monday,” 24/7 speculated.

GPRO shares skyrocketed 78 percent on Monday, fueled by speculation but few could imagine what the business would like once the other shoe dropped.

Well maybe, just maybe, Fischbach knew more than he let on.

Hey, if Allbirds can become Smartbird and transition into a sector where capital is plentiful, why can’t GoPro take the AI route and create a StarPro?

Just before the market opened the next day, on Tuesday September 1 – a nice round date – GoPro, Inc. and Starman Optical, Inc. (Starman), a privately held optical-photonics company, announced they had entered into a definitive merger agreement whereby GoPro shareholders would receive an aggregate cash payment of $285 million, or $1.14 per share – subject to potential adjustment based on GoPro’s net working capital at closing – and will maintain ownership of approximately 10 percent of the outstanding shares of the company, which will remain a publicly traded entity.

GoPro’s outstanding debt of approximately $92 million will be repaid in full at closing, resulting in a clean, substantially debt-free balance sheet.

GPRO shares were up more than 39 percent for the day on Tuesday and jumped nearly 100 percent since the week started.

“Over the past 24 years, GoPro has developed industry-leading imaging solutions featuring innovative, advanced optics, market-defining technology and an associated IP portfolio of more than 2,500 U.S. patents,” the company said in a Tuesday media release announcing the proposed deal. “The merger intends to maximize the value of GoPro’s IP and growth potential in consumer, commercial and defense markets by recapitalizing the company, strengthening its balance sheet, investing in growth and onshoring the manufacturing of products for strategic markets.”

GoPro said it will remain a publicly listed company and will continue to fully support its existing consumer products and its subscription and cloud platform while investing in growth and a broader, diversified product roadmap. Starman’s U.S.-made optical transceivers are expected to be added to GoPro’s portfolio, extending the company’s reach into the large and rapidly growing market for AI infrastructure in optical transceivers.

“We expect this merger to enable GoPro to grow across consumer, commercial and defense markets as a leading American imaging and optical solutions company, addressing important areas of national security related to cameras, optics and AI infrastructure,” said GoPro Founder and CEO Nicholas Woodman. “We’re excited to combine with the Starman team to capitalize on this opportunity and play an important role in America’s future.”

Following the transaction closing, the combined company also intends to leverage its IP, optics and imaging capabilities across defense, government, robotics and aerospace markets, building on demand for U.S.-made solutions.

“Advanced optics and imaging are essential to AI, national security, and the broader economy, yet much of the critical hardware supporting these technologies continues to be manufactured overseas,” said Charles Tebele, CEO, Starman Holding. “The combination of GoPro’s world-class optical expertise and intellectual property with Starman’s advanced transceiver capabilities and U.S. manufacturing platform creates a unique opportunity. Together, we intend to bring production of these critical components back to the United States.”

The transaction has been approved by GoPro’s Board of Directors and by the Board of Starman. It is expected to close by year-end 2026, subject to regulatory approvals and other customary closing conditions, including approval by GoPro’s stockholders.

GoPro plans to provide additional information regarding the transaction upon closing.

Houlihan Lokey, Inc. is acting as financial advisor and has provided a fairness opinion to GoPro, and Fenwick & West LLP is serving as legal counsel to GoPro.

Image from John Carpenter’s Starman (1984) courtesy Sony Pictures Entertainment