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kova4a pretty much covered all you need to know.
I own a Glowlight 3, a Nook STwG and an original model Aura, running the most current O/S which should be the same as the H2O2. Kobo definitely has better software outside of a book. So, navigating your library, etc.
The latest Nook software is similar enough to what was on your Nook ST that you are familiar with it. But the latest software seems buggy. When not in a book, it is very slow. Also, some users have had problems with it losing sideloaded books. I haven't had any of those issues, but be aware of them.
On the plus side, the screen is beautiful. The night light works great and the buttons are nice to have. All the software issues I mentioned impact what happens when you aren't reading. When you are reading, everything is fine.
Kobo has much better software, but for me at least I don't like everything about it out of the box. I have to hack and patch the Kobo software to make it worthwhile for me (this is fairly easy to do and different folks have different tastes. Just letting you know). Also it costs more. And you'll have to order online or wait until Kobo materializes at Walmart (end of the year is what I remember hearing).
Kobo's font/margin/spacing control blows Nook and Kindle out of the water. They also make it easy to add your own fonts to the device. The GL3 and H2O2 are close in size, but the Kobo gives you a bigger screen (at a lower resolution).
As a bonus, it is waterproof. You mentioned you don't care, but it's not a bad extra to have.
Either reader will be a noticeable upgrade to your Nook ST. I have noticed when the GL3 and my Aura are on side-by-side in a dark room, the light from my Aura (which doesn't have color changing light) seems harsh compared to the Glowlight 3. So maybe there is something to this night light reading.
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