Citing a person familiar with the matter, the Journal reported that two firms - Sycamore Partners and Apollo Global Management - were bidding for the Grapevine, Texas-based company, and a deal could be announced by mid-February.
GameStop has more than 6,000 stores and the majority of the company's revenue comes from sales of new and used videogames. The Journal story noted GameStop's performance has suffered in recent years due to the popularity of digital gaming and the migration of retail shopping online.
In November, the company announced that it had entered into a definitive agreement to sell its Spring Mobile business, which owns and operates 1,289 AT&T wireless stores, to Prime Communications L.P. for $700 million.
At that time, GameStop repeated an earlier announcement that its "board of directors, together with outside financial advisors, is undertaking a comprehensive review of a wide range of strategic and financial alternatives to enhance shareholder."
GameStop also cut its sales outlook for the current quarter and next year despite a strong start to the holiday shopping season. For the full year, the company said its total sales are now expected to be down between 2% and 6%, while comparable same-store sales are expected to be flat to down 5%. It forecast adjusted earnings per share of between $2.55 and $2.75 - well below its previous guidance for adjusted earnings of between $3 and $3.35 a share.
GameStop didn't immediately respond to a request for comment.