GameStop’s unsolicited $56 billion bid to acquire eBay was turned down Tuesday, with eBay’s board declaring the offer “neither credible nor attractive.” Six considerations shaped the board’s rejection, Pressler explained in his letter to Cohen: how eBay would fare on its own,…
ubts about the financing plan’s viability, what the transaction would mean for eBay’s long-term growth and profitability, the debt burden and operational exposure a merger would create, how those risks affected the deal’s valuation, and questions about GameStop’s governance structure and executive pay incentives. Pressler, in his statement, quoted directly: “eBay is a strong, resilient business that has delivered meaningful results over the past several years
We have sharpened our strategic focus, strengthened execution, enhanced our marketplace and seller experience, and consistently returned capital to shareholders.” GameStop did not respond to requests for comment, according to CNBC. The proposal, unveiled the previous week, called for purchasing eBay shares at $125 apiece — representing a 20% markup over where the stock closed the prior Friday — with half the consideration in cash and half in GameStop shares. eBay’s market cap stands at about $48 billion, while GameStop’s is about $10.3 billion, according to CNBC. To fund the acquisition, Cohen pointed to a $20 billion debt commitment secured from TD Securities, a TD Bank subsidiary, alongside approximately $9.4 billion in cash GameStop had on its balance sheet as of January 31, 2026. eBay noted that the TD Securities letter was the only document it received with GameStop’s proposal that GameStop itself omitted from its own public disclosures, the company said.
Among the operational arguments Cohen advanced: a promise to extract $2 billion in annual savings from eBay within twelve months of closing, and a vision for GameStop’s approximately 1,600 domestic store locations to take on authentication and order-fulfillment roles within…