eBay Rejects $55.5 Billion Takeover Bid From GameStop
Online marketplace eBay has turned down a $55.5 billion takeover proposal from video game retailer GameStop, describing the offer as unsolicited and unattractive.
In a letter addressed to GameStop Chief Executive Officer Ryan Cohen, eBay’s Board of Directors said it rejected the proposal after reviewing concerns surrounding the financing structure, operational risks, and long-term impact of the deal.
The company also questioned the credibility of the offer, citing uncertainty over how GameStop intended to fund the acquisition.
Industry analysts had widely expected the bid to fail, noting that GameStop is significantly smaller than eBay in terms of market value and financial strength.
eBay maintained that its current turnaround strategy remains effective despite growing competition from online retail rivals such as Amazon, Etsy, and Temu.
The company pointed to improved profitability in 2025, reporting net profits of $418.4 million, compared to $131.3 million in the previous year.
GameStop, which became globally known during the “meme stock” trading frenzy, had earlier claimed it secured financial backing from TD Securities to provide roughly $20 billion in debt financing for the proposed acquisition.
Ryan Cohen reportedly argued that eBay could achieve stronger growth and become a more competitive rival to Amazon under his leadership.
However, market analysts questioned the viability of the proposal, with some warning that the deal could burden eBay with significant debt and create financial instability.
Although eBay rejected the offer, reports indicate that GameStop could still attempt to take its proposal directly to shareholders if it chooses to continue pursuing the acquisition.
GameStop currently operates about 1,600 stores globally, most of them located in the United States.
