GameStop makes $55.5B offer to buy eBay in surprise takeover bid

GameStop proposed an unsolicited, non-binding $55.5 billion acquisition of eBay in a cash-and-stock deal, as the video game retailer looks to push further beyond its legacy retail business.

The company on Sunday submitted a non-binding proposal to acquire 100% of eBay at $125 per share in cash and stock, according to an announcement.

The offer includes a 46% premium to eBay’s unaffected closing price on Feb. 4, 2026, when GameStop began building its position in the company. GameStop also disclosed it has accumulated a roughly 5% economic stake in eBay through derivatives and common stock holdings.

The proposal comes as GameStop tries to reposition itself beyond physical video game retail, including through a Bitcoin treasury strategy approved in 2025. But the bid also raises financing and execution questions because eBay’s market value is several times larger than GameStop’s.

Potential cost cuts and integration plans

GameStop outlined potential cost savings of around $2 billion annually if the deal closes. It said those reductions would come from marketing, product development and administrative consolidation.

The company said eBay spent around $2.4 billion on sales and marketing alone in fiscal 2025, while only adding one million net active buyers.

“More spend is not producing more users on a marketplace with near-universal brand recognition,” GameStop added.

Source: GameStop

GameStop also pointed to its retail footprint of roughly 1,600 US stores as a possible asset for eBay’s logistics and authentication services. It suggested these locations could be used for product intake and fulfillment support.

It also said the proposal stipulates that the GameStop CEO would serve as CEO of the combined company if the acquisition succeeds.

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“EBay should be worth — and will be worth — a lot more money,” Cohen reportedly said, adding: “I’m thinking about turning eBay into something worth hundreds of billions of dollars.”

According to TradingView, eBay’s market capitalization stands at $46.2 billion at the time of writing. GameStop’s market cap is around $12 billion.

eBay stock price, all-time chart. Source: TradingView

GameStop has attracted attention for its growing ties to crypto markets, particularly after adding Bitcoin (BTC) to its corporate treasury strategy in 2025. The move positioned the company alongside a small group of public firms experimenting with digital assets as part of their balance sheet diversification.

The retailer also became a central figure in the 2021 meme stock frenzy, when retail investors coordinated buying activity that sent its shares sharply higher and triggered extreme volatility.

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