GameStop is moving from speculation to action in a bold attempt to reshape its future. The video game retailer has formally offered to acquire eBay, according to reporting from The Wall Street Journal and a confirmed company statement. The proposed deal would mark a major shift for GameStop as it pushes beyond its traditional retail business.
The offer, submitted on May 4, 2026, values eBay at $55.5 billion. GameStop is proposing to pay $125 per share using a mix of cash and stock. The company says the price reflects a strong premium over eBay’s recent trading levels.
eBay confirmed it received what it described as “an unsolicited, non-binding acquisition proposal from GameStop.” The company also made clear that there had been “no discussions with or outreach from GameStop prior to receiving the proposal.” For now, eBay is urging investors to stay put while its board reviews the offer.
“The Board will review this proposal with a focus on the value to be delivered to eBay shareholders, including the value of the GameStop stock consideration and the ability of GameStop to deliver a binding, actionable proposal,” the company said. “Until the Board has further carefully and thoroughly considered the proposal, the company does not intend to comment further at this time.”
GameStop CEO Ryan Cohen outlined the company’s strategy in a letter tied to the bid. He confirmed GameStop has already built a 5 percent stake in eBay, signaling that this move was planned well in advance. The company appears ready to take its case directly to shareholders if needed.
The proposed structure splits the payment evenly between cash and GameStop stock. The company says it has about $9.4 billion in cash and investments as of January 31, 2026, and plans to combine that with outside financing to fund the deal.
GameStop is also pitching aggressive cost cuts. The company claims it can reduce about $2 billion in annual expenses within the first year by targeting marketing, development, and internal operations. It argues these changes would lift eBay’s earnings quickly after the deal closes.
Cohen is positioning GameStop’s physical footprint as part of the plan. The company’s roughly 1,600 U.S. stores could support product authentication, order fulfillment, and live selling. That approach suggests a hybrid model that blends online commerce with in-person services.
If the deal goes through, Cohen says he will take charge of the combined company. He also made a point of tying his compensation directly to performance. “Following close, I will serve as Chief Executive Officer of the combined company. I will receive no salary, no cash bonuses, and no golden parachute – I will be compensated solely based on the performance of the combined company,” he said.
The size gap between the two companies makes this bid unusual. eBay’s market value is significantly larger than GameStop’s, which raises questions about execution and financing. Even so, investors reacted quickly. Shares of both companies rose after the news, with eBay seeing the sharper jump.
GameStop’s board has already approved the proposal, but the outcome now rests with eBay’s leadership and shareholders. With discussions ongoing and no agreement in place, the next few weeks could determine whether this high-risk bid turns into one of the most surprising deals in recent tech and retail history.
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English (US) · 