GameStop proposes to buy eBay for $55.5 billion

GameStop wants to buy eBay for $55.5 billion. The offer is spectacular, almost baffling, as it comes from a group much smaller than its target. The company proposes $125 per share, half in cash and half in stock, in a non-binding operation. It already claims to hold 5% of eBay through shares and derivatives.

GameStop attempts a coup on eBay

GameStop is no longer just trying to survive the decline of physical video games. With this offer on eBay, Ryan Cohen wants to scale up, rewrite the narrative around the company, and shift its playing field. It is not really a classic acquisition, but an attempt at a strategic pivot. In this context, one might better understand why CryptoQuant suspected GameStop of wanting to liquidate all its bitcoin reserves.

The offer represents a 46% premium over eBay’s price on February 4, 2026, the date when GameStop says it began accumulating its position. The total amount reaches approximately $55.5 billion. To finance the operation, GameStop highlights $9.4 billion in cash and liquid investments, plus a financing letter up to $20 billion from TD Securities.

The message is clear: GameStop wants to convince that its capital, investor community, and cost discipline can wake up eBay. But the size gap is shocking. Reuters reminds that eBay was worth about $46 billion, compared to nearly $12 billion for GameStop before the announcement. It is not a detail. It is the heart of the skepticism.

Ryan Cohen’s bet: cut costs and restart the engine

Ryan Cohen is not only selling a merger. He is selling a method. GameStop claims it can reduce $2 billion in annual costs at eBay within twelve months of closing. The main target would be marketing, deemed ineffective given the low growth in the number of active buyers.

The argument is blunt but easy to understand. According to GameStop, eBay spent $2.4 billion on sales and marketing in 2025, while only increasing from 134 to 135 million active buyers. For Cohen, this looks like an old machine still running but consuming too much to produce too little.

GameStop also puts forward a more unexpected asset: its roughly 1,600 stores in the United States. The idea would be to transform them into an authentication, deposit, fulfillment, and direct commerce network for eBay. On paper, it creates a bridge between digital marketplace and physical presence. In reality, it will need to prove that these stores can become more than relics of a declining retail era.

eBay hesitates, investors doubt

eBay has confirmed receiving the offer but states there had been no prior discussions with GameStop. Its board will review the proposal with its financial and legal advisors. Shareholders have been advised to take no action for now.

This cool response shows the deal is far from certain. eBay emphasizes its worldwide scale, 135 million buyers, and presence in over 190 markets. The company also recalls it generated nearly $80 billion in gross merchandise volume in 2025.

The case can therefore become political in the stock market sense. Cohen would be ready to take the offer directly to the shareholders if eBay’s board resists. This would open the way for a proxy battle. GameStop would then shift from a mere potential buyer to an activist player.

The most interesting part is not just the price. It is the logic behind the move. GameStop wants to use eBay as a transformation platform, not just a financial target. Cohen seems to bet the market underestimates the value of a more aggressive, leaner eBay better connected to collectibles, live auctions, and trust between buyers and sellers. Meanwhile, Ethereum quietly celebrates its longevity with over $25 million locked.