May 5, 2026 GameStop CEO Ryan Cohen has made an unsolicited offer to acquire eBay for about $56 billion. The proposal values eBay at $125 per share, roughly a 20 per cent premium, and positions the combined company as a potential competitor to Amazon.
Cohen said GameStop has already built a roughly 5 per cent stake in eBay and formally delivered an offer letter to the company’s board. The deal would be structured as 50 per cent cash and 50 per cent GameStop stock, with a commitment letter from TD Bank to provide up to $20 billion in debt financing to support the acquisition.
eBay confirmed it had not been approached prior to receiving the proposal and said its board and financial advisers would review the offer. The company added it would evaluate the bid based on shareholder value, including the viability of the stock component and GameStop’s ability to execute a binding transaction.
The scale of the bid presents immediate challenges. eBay was valued at around $46 billion prior to the offer, while GameStop’s own market capitalisation is closer to $12 billion. Although GameStop holds approximately $9 billion in cash, the company would need significant additional financing or external investment to complete a deal of this size.
Cohen said he sees operational overlap and cost-saving opportunities between the two businesses, particularly in categories like collectibles, where both companies are already active. He also outlined plans to integrate GameStop’s physical retail footprint with eBay’s marketplace, potentially using stores as hubs for item collection and authentication.
The proposal also includes a strategic shift for eBay. Cohen argued the platform could expand into areas like live commerce – real-time video-based sales – and scale its marketplace to compete more directly with Amazon.
“It could be a legit competitor to Amazon,” he said, adding that he intends to serve as CEO of the combined company without a salary, with compensation tied entirely to performance.
If the board rejects the offer, Cohen indicated he is prepared to pursue a proxy fight and appeal directly to shareholders, though the window to nominate directors ahead of eBay’s upcoming annual meeting has already closed.
Analysts remain cautious. Some note that eBay has already been executing a turnaround strategy focused on higher-margin categories and cost reductions, including workforce cuts and increased use of AI tools. The company recently reported an 18 per cent year-over-year increase in gross merchandise volume, suggesting momentum in its current approach.
Cohen’s track record adds context to the bid. He previously co-founded Chewy and led GameStop’s transformation following the 2021 meme-stock surge, shifting the retailer toward collectibles and higher-margin products while closing stores and reducing international operations.
