GameStop has made a dramatic move to reshape its future, submitting a non binding proposal on May 3, 2026 to acquire eBay in a deal valued at roughly $55.5 billion.
The offer, set at $125.00 per share, represents a 46 percent premium over eBay’s stock price from February 4, 2026, when GameStop began building its position. The transaction would be structured as a mix of 50 percent cash and 50 percent GameStop common stock.
GameStop has already established a foothold, holding about a 5 percent economic stake in eBay through a combination of derivatives and shares. To finance the acquisition, the company plans to deploy approximately $9.4 billion in cash while securing up to $20 billion in additional backing from TD Securities.
At the center of the strategy is CEO Ryan Cohen, who is positioning the deal as a transformation play. His vision includes cutting $2 billion in annual costs within the first year, largely by reducing eBay’s spending on sales and marketing.
Another key component involves leveraging GameStop’s physical footprint. The company’s roughly 1,600 stores across the United States would be repurposed as operational hubs for authentication, intake, and fulfillment tied to eBay’s marketplace.
Cohen is also betting heavily on the expansion of live commerce, a format where sellers and brands engage directly with buyers through real time streaming. Under the proposed structure, he would take over as CEO of the combined company, with compensation tied entirely to performance.
The approach signals a willingness to escalate if necessary. Cohen has indicated he may take the proposal directly to shareholders through a proxy fight if eBay’s board does not engage.
Investors reacted quickly to the news, sending eBay shares up more than 13 percent in after hours trading. The proposal now sets the stage for what could become one of the most closely watched corporate battles in recent years.