GameStop has made an unsolicited offer to acquire eBay in a deal valued at approximately $56 billion, according to a report by the Wall Street Journal.
The report, citing GameStop chief executive Ryan Cohen, said the company is offering $125 per share in a mix of cash and stock as part of the proposed acquisition.
Aggressive expansion strategy
GameStop, traditionally known as a video game and collectibles retailer, has reportedly built a 5% stake in eBay ahead of the offer.
The proposed deal represents a premium of roughly 20% over eBay’s most recent closing price, according to market data cited in the report.
Possible shareholder pressure
If eBay does not respond positively, Cohen is reportedly prepared to escalate the matter through a proxy battle and take the proposal directly to shareholders.
The strategy signals an unusually aggressive approach given the size difference between the two companies.
Market value gap
As of Friday’s market close, GameStop’s valuation stood at around $11 billion, while eBay’s market capitalisation was approximately $45 billion, highlighting the scale of the proposed transaction.
Broader transformation plans
The report suggests the potential acquisition could be part of a broader effort by Cohen to reposition GameStop beyond its core retail identity.
In recent years, the company has experimented with multiple strategies, including digital assets and store restructuring, as it attempts to redefine its business model.
Uncertain next steps
GameStop is expected to release further details of its proposal later on Sunday, according to the Wall Street Journalreport.
Neither GameStop nor eBay has publicly confirmed the details of the reported offer at this stage.
