GameStop has submitted an unsolicited, non-binding proposal to amass eBay for $125 per share.
Abstract
- GameStop provided $125 per eBay share, valuing the unsolicited takeover proposal at about $55.5 billion.
- Ryan Cohen would lead the mixed firm if GameStop’s cash-and-stock acquisition proposal for eBay succeeds.
- GameStop says $2 billion in yearly price cuts might come inside twelve months of closing.
The proposed deal values eBay at about $55.5 billion on an undiluted fairness foundation. In the meantime, the provide would use 50% money and 50% GameStop inventory. GameStop stated the worth represents a 46% premium to eBay’s unaffected closing value on February 4, when it started constructing its place.
GameStop additionally disclosed a 5% financial stake in eBay by derivatives and customary inventory possession. The corporate stated it deliberate to file a Schedule 13D and Hart-Scott-Rodino notification.
The proposal would place Ryan Cohen as chief government of the mixed firm after closing. GameStop stated Cohen owns about 9% of the corporate and receives no wage, money bonuses, or golden parachute.
Price cuts type key a part of takeover plan
GameStop stated it might ship about $2 billion in yearly price cuts inside twelve months of closing. It pointed to gross sales and advertising and marketing, product growth, and administrative bills as goal areas.
The corporate questioned eBay’s advertising and marketing spend after eBay spent $2.4 billion on gross sales and advertising and marketing in fiscal 2025. GameStop stated, “Extra spend just isn’t producing extra customers” on a broadly recognized market.
Furthermore, GameStop stated it might fund the money portion by stability sheet sources and outdoors financing. The corporate reported about $9.4 billion in money and liquid investments as of January 31, 2026.
It additionally stated TD Securities supplied a extremely assured letter for as much as $20 billion in acquisition financing. Nonetheless, the proposal stays topic to financing, regulatory approval, shareholder approval, and a closing settlement.
Bitcoin technique provides one other market angle
GameStop’s bid follows its wider shift past legacy retail. Crypto.information reported earlier that the corporate stored publicity to 4,709 BTC by a Coinbase Credit score covered-call association quite than promoting the Bitcoin outright.
Crypto.information additionally reported in February that Cohen was pursuing a “main acquisition” and had described the method as “genius or completely, completely silly.” The eBay proposal now provides that technique a named goal.
