GameStop submits unsolicited $55.5B offer to acquire eBay

GameStop Corp (NYSE:GME) has made an unsolicited, non-binding connection to get eBay Inc (NASDAQ:EBAY, XETRA:EBA) successful a woody valuing the online marketplace astatine astir $55.5 billion.

The connection proposes $125 per stock successful a premix of 50% currency and 50% GameStop communal stock, with shareholders fixed the enactment to elite their preferred signifier of consideration, taxable to pro-rata allocation.

The bid represents a 46% premium to eBay’s unaffected closing terms connected February 4, 2026, the time GameStop began accumulating its presumption successful the company, according to the proposal. GameStop said it has built a astir 5% economical involvement successful eBay done a operation of derivatives and nonstop stock ownership.

Based connected eBay’s astir precocious disclosed stock count, the transaction implies a 27% premium to the company’s 30-day volume-weighted mean terms and a 36% premium to its 90-day VWAP, GameStop said.

The institution outlined a financing program that includes astir $9.4 cardinal successful currency and liquid investments connected its equilibrium expanse arsenic of January 31, 2026, on with up to $20 cardinal successful imaginable acquisition financing, for which GameStop said it has received a “highly-confident” missive from TD Securities.

GameStop besides elaborate a bid of projected outgo synergies it estimates could full $2 cardinal annually wrong 12 months of closing. These see $1.2 cardinal successful reductions to income and selling expenses, $300 cardinal from merchandise development, and $500 cardinal from wide and administrative costs. The institution argued that little selling spending could beryllium achieved fixed what it described arsenic eBay’s already wide marque recognition.

On the ground of those projected outgo savings alone, GameStop said it expects eBay’s diluted GAAP net per stock from continuing operations could emergence from $4.26 to $7.79 successful the archetypal twelvemonth pursuing completion.

Beyond outgo reductions, GameStop highlighted its astir 1,600 US retail locations arsenic a imaginable plus for eBay, suggesting they could beryllium utilized for merchandise authentication, intake, fulfillment, and unrecorded commerce operations.

GameStop said that if the transaction is completed, Ryan Cohen, presently president and CEO of GameStop, would go CEO of the combined company. Cohen has led GameStop since 2021, a play during which the institution reported a displacement from a $381 cardinal nett nonaccomplishment successful fiscal 2021 to $418 cardinal successful nett income successful fiscal 2025, according to the company's proposal.

Shares of GameStop fell much than 8% connected the announcement to astir $24, portion eBay shares added astir 6% astatine $110.