In a bold move, GameStop has presented an unsolicited bid to purchase eBay for $125 per share through a combination of cash and stock transactions, valuing the deal at $55.5 billion. The video game retailer plans to finance this acquisition using $9.4 billion in existing cash reserves as of January 31, augmented by up to $20 billion from third-party financing via TD Securities. GameStop anticipates realizing $2 billion annually in cost savings within a year, primarily targeting what it perceives as eBay’s inefficient expenditures.
The company highlighted eBay’s fiscal 2025 spending of $2.4 billion on sales and marketing that only resulted in an increase of one million net active buyers, expanding its user base from 134 million to 135 million—a growth rate below 0.75%.
GameStop intends to utilize its network of 1,600 retail locations across the U.S. to establish a comprehensive system for authentication, intake, fulfillment, and live commerce services on eBay’s platform.
CEO Ryan Cohen envisions this acquisition, which represents a 46% premium over eBay’s closing price on February 4 (the day GameStop began accumulating shares), as transformative for both companies. Currently holding a 5% stake in eBay, Cohen believes eBay has significant untapped value: “eBay should be worth—and will be worth—a lot more money,” he told The Wall Street Journal. He is prepared to approach shareholders directly if necessary.
In its response, eBay acknowledged the proposal with a statement issued on Monday morning, noting that no discussions with GameStop have taken place and urging shareholders not to take any immediate action.
This acquisition offer underscores a dramatic shift for GameStop under Cohen’s leadership. Previously known for his role in founding Chewy, which he sold to PetSmart for $3.35 billion in 2017, Cohen has revitalized GameStop from a $381 million net loss in fiscal 2021 to a $418 million net income by fiscal 2025. In the same period, the company reduced its selling, general, and administrative expenses by $800 million—a 47% decrease.
Cohen, who owns a 9% stake in GameStop and does not receive any salary or cash bonuses, is steering the $11 billion enterprise towards acquiring eBay, which was valued at approximately $46 billion prior to this news. A newly implemented compensation plan could reward Cohen with stock options worth up to $35 billion if GameStop’s market cap reaches $100 billion while meeting profit targets.
GameStop shares initially surged in after-hours trading but fell by over 4% on Monday, recently trading at $25.32. Since the year began, they have risen by 24%, according to Yahoo Finance. Meanwhile, eBay stock climbed about 5.5% on Monday, reaching a price of $109.81 and increasing by 26% since early 2026.
This proposed acquisition represents another evolution for GameStop, transitioning from its meme stock days to becoming an influential corporate contender. Additionally, GameStop became a Bitcoin treasury company last year, acquiring 4,709 BTC for over $500 million—a value now at approximately $377 million. In March, the company disclosed it had adopted a covered call strategy with Coinbase to yield returns on its Bitcoin holdings.