eBay Rejects GameStop's $56 Billion Unsolicited Takeover Bid
eBay has officially rejected an unsolicited $56 billion takeover offer from GameStop, deeming the proposal neither credible nor attractive. eBay’s board cited significant concerns regarding GameStop’s financing structure, potential operational risks, and the excessive debt burden of the deal. Despite GameStop CEO Ryan Cohen’s ambition to merge the companies to compete with Amazon, eBay emphasized its strong standalone financial position and successful strategic turnaround. The rejection highlights the vast disparity in market capitalization between the two firms and underscores skepticism about GameStop’s ability to fund such a massive acquisition.
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GameStop Reaffirms eBay Takeover Bid and Raises Fiscal 2026 Earnings Outlook
GameStop has reaffirmed its commitment to acquiring eBay despite the e-commerce giant's rejection of its unsolicited takeover offer, while simultaneously raising its fiscal 2026 earnings guidance. The company projects adjusted EBITDA to surpass $600 million for fiscal year 2026, a significant increase from $345.4 million in fiscal 2025. GameStop CEO Ryan Cohen previously proposed buying eBay for $125 per share, valuing the company at approximately $55.5 billion, to be financed with GameStop's $9.4 billion cash reserves and up to $20 billion in debt from TD Securities. eBay's board rejected the proposal, citing financing concerns and questions about the combined company's management. As of the filing, GameStop holds 4.3 million eBay shares directly and derivatives exposure to an additional 39 million shares. A $35 billion bonus arrangement tied to market cap milestones was recently scrapped at Cohen's request.
Yahoo FinanceGameStop Reaffirms eBay Takeover Bid and Raises Fiscal 2026 Outlook
GameStop has reaffirmed its commitment to acquiring eBay despite the e-commerce company's rejection of its unsolicited $55.5 billion takeover offer. In a regulatory filing on June 26, 2026, GameStop also raised its fiscal 2026 adjusted EBITDA forecast to over $600 million, a sharp increase from $345.4 million in fiscal 2025, sending its stock up over 2% in after-hours trading. CEO Ryan Cohen proposed in May to buy all eBay shares at $125 each, split evenly between cash and stock, citing $9.4 billion in cash reserves and up to $20 billion in debt financing from TD Securities. eBay's board dismissed the bid as 'neither credible nor attractive,' citing financing and governance concerns. GameStop, valued at roughly $10 billion, is attempting to acquire a company five times its size. Cohen earlier scrapped a potential $35 billion bonus plan tied to market capitalization milestones and has hinted at personally injecting $500 million into the deal. GameStop disclosed it directly holds about 4.3 million eBay shares and has derivatives exposure to an additional 39 million shares.
Yahoo FinanceGameStop Pledges to Pursue $56 Billion Takeover of eBay Despite Rejection
On June 26, 2026, GameStop announced it will continue to pursue its unsolicited cash-and-stock takeover offer for eBay, valued at approximately $56 billion, despite eBay's rejection of the bid in May. The videogame retailer, led by CEO Ryan Cohen, argues that a combined entity would better compete with Amazon. GameStop stated in a regulatory filing that additional materials detailing the strategic rationale and operational plan for the merger will be released soon. The company also projected strong earnings for fiscal 2026, with adjusted EBITDA exceeding $600 million, compared to $345.4 million in fiscal 2025. This news boosted GameStop's stock price over 2% in after-hours trading. eBay has not yet commented on the latest development. The proposed acquisition would unite a company roughly five times GameStop's size.
Yahoo FinanceGameStop CEO Ryan Cohen Withdraws $35 Billion Bonus Plan Amid eBay Takeover Bid
GameStop CEO Ryan Cohen withdrew a proposed performance bonus plan worth up to $35 billion, stating he wants leadership fully focused on the company's operations and its proposed $56 billion acquisition of eBay. Cohen's audacious bid for eBay, which was rejected in May 2024, faces skepticism due to GameStop's $10 billion market cap versus eBay's $50 billion valuation. Cohen has not detailed how he will finance the remaining gap beyond a $20 billion financing letter from TD Bank. Analysts question how a company one-fifth the size of its target can complete the takeover. Cohen's decision to scrap the bonus eliminates concerns the deal was self-serving, but the fundamental financial question remains unresolved. GameStop plans to release a detailed presentation on the strategic rationale this week.
US Top News and AnalysisGameStop CEO Ryan Cohen Walks Away From $35 Billion Pay Package to Pursue Hostile eBay Bid
GameStop CEO Ryan Cohen has abandoned a roughly $35 billion CEO Performance Award tied to GameStop's stock performance in order to pursue a hostile takeover bid for eBay. Cohen offered $55.5 billion ($125 per share) in a 50% cash, 50% stock deal on May 4, 2026, which eBay's board rejected within eight days, calling it 'neither credible nor attractive.' The bid is structured with $9.4 billion from GameStop's cash reserves and a $20 billion 'highly confident letter' from TD Securities. Michael Burry has exited his GameStop position, and Polymarket gives Cohen just 13% odds of success. GameStop's Q1 FY26 results showed strong performance with revenue up 14% to $835.3 million and collectibles revenue surging 65%, though net income included a $268.4 million unrealized gain tied to eBay exposure.
Yahoo FinanceGameStop CEO Ryan Cohen Drops $35 Billion Bonus Plan Amid eBay Bid and Shareholder Lawsuit
GameStop CEO Ryan Cohen has dropped a proposed $35 billion performance bonus plan following a request to the board, as the company faces mounting legal and investor pressure over its unsolicited $56 billion bid for eBay. The award, approved in January 2026, would have paid Cohen if GameStop reached a $100 billion market capitalization. eBay's board rejected the bid as 'neither credible nor attractive,' citing financing and leadership concerns. The City of Pontiac General Employees' Retirement System has filed a class-action lawsuit in Delaware, alleging the board manipulated voting rules to favor insiders. GameStop plans to release details on the strategic rationale for the eBay acquisition and denies the bid was motivated by the bonus plan's threshold.
Yahoo FinanceGameStop CEO Ryan Cohen Scraps $35 Billion Pay Package, Pledges $500 Million to Pursue eBay Acquisition
GameStop CEO Ryan Cohen has withdrawn his proposed $35 billion compensation package to focus entirely on revitalizing the company and acquiring eBay. Despite eBay being five times larger ($48 billion market cap) and having rejected a cash-and-stock offer in May, Cohen remains determined. On the 'All-In' podcast, he highlighted synergies such as cutting eBay's costs, leveraging GameStop's 1,600 US stores for live commerce and fulfillment, and expanding into digital collectibles. To demonstrate conviction, Cohen is personally investing $500 million. He has not ruled out a hostile takeover. The move follows backlash from notable investors like Michael Burry, who sold his GameStop stake over concerns the deal was driven by Cohen's personal incentives. GameStop plans to release more details about the purchase strategy this week.
All Content from Business InsiderGameStop CEO Ryan Cohen Drops $35 Billion Pay Package to Focus on eBay Bid
GameStop CEO Ryan Cohen has withdrawn a potential $35 billion bonus plan, stating the company's leadership should focus on operating performance and the proposed acquisition of eBay. The bonus award, introduced in January, required GameStop to achieve a $100 billion market cap and $10 billion in EBITDA. GameStop plans to release additional materials this week detailing the rationale for the eBay acquisition and post-merger integration. In May, GameStop made a non-binding $55.5 billion offer for eBay at $125 per share, partly funded by cash reserves and debt, but eBay's board rejected the proposal as not credible. An investor has filed a class-action lawsuit to halt the pay package, which GameStop is contesting. The company reported a 14% rise in quarterly net sales to $835.3 million and authorized a new $2 billion share buyback program.
Yahoo FinanceGameStop CEO Ryan Cohen Drops $35 Billion Pay Package to Focus on eBay Bid
GameStop CEO Ryan Cohen has withdrawn a performance-based bonus plan that could have paid him up to $35 billion, citing a need to focus on the company's proposed $55.5 billion acquisition of eBay. The bonus, approved in January, required GameStop to reach a $100 billion market cap and $10 billion in EBITDA. GameStop plans to release detailed materials this week outlining the rationale and integration strategy for the eBay deal. The move follows a shareholder lawsuit seeking to halt the pay package. eBay's board previously rejected the unsolicited bid, citing concerns about financing and governance. GameStop reported a 14% increase in quarterly sales to $835.3 million and approved a $2 billion share buyback program. Cohen intends to lead the merged company and forgo salary for performance-based compensation.
Yahoo FinanceGameStop drops CEO package, heightens focus on eBay takeover
GameStop has approved CEO Ryan Cohen's request to drop a performance pay package worth approximately $35 billion, as the company intensifies efforts to acquire eBay. The move comes after a shareholder lawsuit was filed to block a vote on increasing authorized shares. GameStop plans to release additional details about its proposed $56 billion acquisition of eBay this week, despite eBay rejecting the previous bid as 'neither credible nor attractive.' Cohen stated he remains committed to the deal, calling eBay 'highly complementary' to GameStop. GameStop posted record quarterly net income of nearly $390 million in Q1, a 770% year-over-year increase, with net sales up 14% to $835.3 million. Meanwhile, eBay recently agreed to acquire Depop for $1.2 billion.
Yahoo FinanceGameStop's Ryan Cohen Walks Away From $35 Billion Award to Focus on eBay Bid
GameStop (NYSE: GME) CEO Ryan Cohen has asked the board to remove his proposed performance award, worth up to $35 billion, from the company's proxy statement to redirect full attention toward the proposed eBay acquisition. The board approved the award in January 2026 before GameStop pursued eBay, and has now granted Cohen's request, filing a supplemental proxy amendment with the SEC. Cohen's eBay bid offered $125 per share in cash and GameStop stock, but eBay's board rejected it as 'neither credible nor attractive'. Cohen questioned eBay's $2.4 billion marketing spend, leading eBay to suspend Cohen's seller account in May. Cohen envisions a combined platform for trading in-game digital assets. Polymarket prices a completed deal at 14% due to market skepticism. GameStop plans a strategic presentation this week detailing financing and operational plans.
Yahoo FinanceGameStop CEO Ryan Cohen Withdraws $35 Billion Performance Award to Focus on eBay Acquisition
GameStop (NYSE: GME) CEO Ryan Cohen has asked the board to remove his proposed CEO Performance Award worth up to $35 billion, forfeiting the potential payout to redirect leadership's full attention toward the proposed acquisition of eBay. The board granted the request, filing a supplemental proxy amendment with the SEC. The award, approved in January 2026 before GameStop pursued eBay, required the company to reach a $100 billion market cap and $10 billion in cumulative EBITDA. Cohen stated that leadership should remain 'fully focused' on operating performance and the acquisition bid. GameStop plans to release further materials this week detailing strategic rationale, financing, and operational plans. Cohen's earlier bid of $125 per share in cash and stock was rejected by eBay's board as 'neither credible nor attractive'. The standoff escalated when eBay suspended Cohen's seller account in May. Polymarket currently prices a completed deal at 14%. GameStop stock (GMEX) traded at $21.16, up 0.64% in the past 24 hours.
Yahoo FinanceGameStop CEO Drops US$35 Billion Pay Plan to Focus on eBay Bid
GameStop CEO Ryan has dropped a proposed US$35 billion compensation plan to concentrate on the company's bid to acquire eBay. The video-game retailer stated that when its board approved the CEO pay plan, it had not yet decided to pursue the eBay buyout. GameStop will release additional materials regarding the proposed acquisition later this week. The decision to shelve the pay plan signals a strategic pivot by management to prioritize the landmark eBay transaction over executive compensation. The move comes as GameStop, traditionally a brick-and-mortar video game retailer, seeks to expand its digital marketplace capabilities through the acquisition of the e-commerce platform.
The Business TimesGameStop CEO Cohen Rejects $35 Billion Pay Package to Focus on eBay Bid
Ryan Cohen, CEO of GameStop, has declined a potential $35 billion performance-based compensation package in order to concentrate on the company's proposed $56 billion acquisition of eBay. The package, unveiled in January, was contingent on dramatically increasing GameStop's market value and profitability. In May, Cohen made an unsolicited offer to buy eBay, which the eBay board rejected as 'neither credible nor attractive.' GameStop stated it will release more details on its eBay takeover plans, including a strategic rationale and operational blueprint. The company, with a market value of about $10 billion, is attempting to acquire a firm roughly five times its size, raising questions about financing. The announcement comes alongside GameStop's positive quarterly results, including a 14% revenue increase and a new $2 billion share repurchase program. Cohen has previously led GameStop back to profitability through aggressive cost-cutting.
Yahoo FinanceGameStop CEO Ryan Cohen Persists in Bid to Acquire eBay Despite Rejection
GameStop CEO Ryan Cohen continues to pursue an acquisition of eBay after the company's board rejected an unsolicited $55.5 billion offer ($125 per share), consisting of 50% cash and 50% GameStop stock. Despite GameStop's $10 billion market cap versus eBay's $50 billion valuation, Cohen is escalating pressure by increasing GameStop's beneficial ownership in eBay to 9% through derivatives and cash, and appealing directly to eBay shareholders via media interviews. GameStop has secured a $20 billion debt financing commitment from TD Securities. The article analyzes the feasibility of the 'David vs. Goliath' merger, noting risks including potential stock dilution, debt burden, and the possibility of GameStop dumping its eBay stake to crash the stock. It advises eBay shareholders to enjoy short-term gains but warns of volatility, while GameStop shareholders face dilution risks.
Yahoo FinanceGameStop reports 14% rise in quarterly revenue, unveils $2 billion share buyback
GameStop reported a 14% rise in quarterly revenue to $835.3 million, driven by strong demand for collectibles and trading cards as the company shifts away from traditional hardware sales. The board approved a new $2 billion share repurchase program running through June 2029. Net income surged to $389.6 million from $44.8 million a year ago. The results come as GameStop presses its bid to acquire eBay, which rejected its $56 billion unsolicited offer. GameStop increased its stake in eBay to about 6.6%, and CEO Ryan Cohen remains committed to the acquisition, potentially taking the offer directly to shareholders. eBay has called the proposal 'neither credible nor attractive.' Shares jumped 7.4% in extended trading.
Yahoo FinanceGameStop Increases eBay Stake to 7.8% as Ryan Cohen Pursues Hostile Takeover
GameStop CEO Ryan Cohen has increased the company's stake in eBay to 7.8%, following a previous increase to 6.6% on May 20, 2026. This move comes after eBay's board rejected GameStop's acquisition offer as 'unrealistic.' Since the offer was made official on May 3, GameStop shares have fallen 19.49%, while eBay shares have risen 6.03%. The article highlights the fundamental mismatch between the two companies—GameStop sells gaming hardware and collectibles, while eBay is a global e-commerce marketplace. Analysts criticize Cohen for diverting focus from GameStop's operational improvements, including consistent profitability and AI integration, to pursue a risky leveraged acquisition of a company five times its market cap. The market reaction suggests investor skepticism about the deal's viability.
Yahoo FinanceWall Street Awaits GameStop CEO Cohen's Next Move After eBay Rejects Takeover Bid
GameStop CEO Ryan Cohen's $56 billion unsolicited bid to acquire eBay was rejected by eBay's board as 'neither credible nor attractive.' Cohen offered $125 per share, half cash and half stock, with the cash portion coming from GameStop's $9.4 billion reserves and a $20 billion debt financing commitment from TD Securities contingent on investment-grade credit ratings. Analysts question the feasibility of financing a deal for a company nearly five times GameStop's size. One potential path for Cohen is a hostile tender offer directly to eBay shareholders, bypassing the board. However, major institutional investors like Vanguard, BlackRock, and State Street, who collectively own over 22% of eBay, are considered unlikely to support such a move. Analysts express skepticism, with one stating 'zero chance' a tender offer would succeed. eBay shares have risen 32% this year, valuing the company at roughly $51 billion.
Yahoo FinanceGameStop Boosts eBay Stake to Over 6% Amid Takeover Push
GameStop has increased its stake in eBay to 6.55%, up from approximately 5%, according to a regulatory filing. The move comes as GameStop CEO Ryan Cohen continues his pursuit to acquire the e-commerce platform. Earlier this month, Cohen made an unsolicited offer to buy eBay for roughly $56 billion, which eBay rejected as 'neither credible nor attractive.' Cohen has publicly stated he will persist in seeking a deal. Shares of both companies showed little change in premarket trading following the announcement. The increased stake signals GameStop's ongoing commitment to its takeover strategy despite eBay's resistance.
Yahoo FinanceGameStop’s Ryan Cohen Pursues Hostile Takeover of eBay After Rejection
GameStop CEO Ryan Cohen is escalating his efforts to acquire eBay through a hostile takeover after the online marketplace's board rejected his unsolicited $125-per-share offer. According to reports, Cohen sent a letter to eBay Chairman Paul Pressler criticizing the decision to dismiss the proposal without detailed discussions. In response to the rejection, Cohen plans to take his proposal directly to eBay shareholders. To support this strategy, GameStop has accumulated a 5% stake in eBay. The initial mixed cash-and-stock offer valued eBay at more than four times GameStop’s market capitalization. eBay formally rejected the deal, labeling it "neither credible nor attractive" due to concerns over financing structures, potential debt burdens, and GameStop’s governance practices. Cohen’s letter further attacked eBay’s leadership, highlighting that CEO Jamie Iannone received $144 million in compensation during a period when the company’s active buyer base declined. This development marks a significant escalation in corporate tension between the two entities, with GameStop leveraging its growing equity position to challenge eBay's board decisions and strategic direction.
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