GameStop Considers eBay Takeover Bid with $9B Cash Reserves

GameStop is reportedly preparing an offer to acquire eBay, leveraging its cash reserves and investor base. The move could leverage eBay's thriving platform, with 135 million active buyers, but may be complicated by eBay's strong stock performance.

The Wall Street Journal reported on May 1, 2026 that GameStop is preparing a formal offer to acquire eBay, sending EBAY shares surging more than 13% in after-hours trading while GME added roughly 9% . GameStop ended its most recent quarter with approximately $9 billion in cash and investments — a war chest assembled through equity offerings and a disciplined pullback from unprofitable retail operations. Sources indicated an offer could be submitted as early as late May.

The bid is driven by CEO Ryan Cohen, who built pets e-tailer Chewy before his activist campaigns at GameStop reshaped the company. Cohen's board approved a performance-based compensation package requiring GameStop to reach a $100 billion market valuation and generate $10 billion in cumulative EBITDA. Acquiring eBay — with its 135 million active buyers, 18 million sellers, and a market capitalization of roughly $46–$47 billion — would dramatically accelerate that timeline by adding an established global marketplace with recurring transaction revenue .

The deal faces significant structural challenges. Even with its $9 billion cash position, GameStop would need substantial debt financing to close a transaction at eBay's current valuation, which has climbed approximately 47% over the past year. Neither company has publicly commented on the report. Cohen is reportedly prepared to take the offer directly to eBay shareholders if the board declines, introducing the prospect of a protracted hostile contest for a company that has been actively expanding its own AI-powered commerce capabilities.

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