GameStop has made an unsolicited offer to acquire eBay in a deal that would be valued at about $56 billion, proposing a cash-and-stock transaction combining the video game retailer's physical store network with one of the world's largest online marketplaces.
The bid values eBay at $125 per share and represents a premium of roughly 20% over its prior closing level, according to details disclosed in the proposal and reported by Reuters. The offer is structured as an even split between cash and GameStop shares.
eBay confirmed it received the unsolicited, non-binding proposal and said its board will evaluate the offer with financial and legal advisers, according to a statement issued by PR Newswire. The company added that shareholders should take no action while the review process is underway.
GameStop CEO Ryan Cohen said the company is prepared to pursue the transaction further, including taking the proposal directly to shareholders if necessary. That approach, including the possibility of a proxy fight, was first reported by CNBC.
The proposed deal would combine two companies operating at very different scales. eBay's market value is roughly four times larger than GameStop's, making the acquisition one of the more unusual attempts in recent U.S. corporate dealmaking. The structure would require a combination of existing cash, new equity issuance, and significant external financing.
GameStop said it has secured a commitment for up to $20 billion in debt financing from TD Securities, a subsidiary of TD Bank, while also relying on its reported $9.4 billion in cash and liquid investments, according to Reuters. Additional funding could come from equity issuance and outside investors.
Cohen has argued that combining the companies would unlock operational efficiencies and expand eBay's commerce capabilities. He outlined potential annual cost reductions of about $2 billion, largely through reductions in marketing and administrative expenses, a position also reported by Yahoo Finance.
A central element of the proposal is the use of GameStop's approximately 1,600 U.S. retail stores as physical infrastructure for eBay's marketplace operations. These locations could support product authentication, fulfillment, and live commerce services, according to statements cited by CNBC.
Founded in 1995, eBay continues to operate a large global marketplace with more than 130 million active buyers across multiple regions. The company reported about $80 billion in gross merchandise volume in 2025 and has been working to stabilize growth amid competition from Amazon and other digital platforms, according to PR Newswire.
GameStop, meanwhile, has been navigating a long-term transition away from physical video game sales as the industry shifts toward digital distribution. The company became widely known during the 2021 meme-stock surge, when retail trading activity sent its shares sharply higher.
Cohen, who took leadership roles at GameStop in 2021 and later became chief executive, has emphasized restructuring efforts that returned the company to profitability. However, recent financial results show continued pressure on revenue as the business adapts to changing consumer behavior.
eBay's board said it will evaluate the proposal based on long-term value creation for shareholders, including the feasibility of financing, integration risks, and the relative value of the stock component, according to PR Newswire (eBay Inc.).
