GameStop just made an unsolicited proposal to acquire eBay in a deal worth roughly $56 billion.
GameStop CEO Ryan Cohen told The Wall Street Journal that together the two companies “could be a legit competitor to Amazon.”
He added, “EBay should be worth—and will be worth—a lot more money. I’m thinking about turning eBay into something worth hundreds of billions of dollars.”
Cohen sent a letter to eBay Chairman Paul Pressler on Sunday offering to buy the company for $125 per share in a deal split between cash and GameStop stock.
The proposal includes an ambitious cost-cutting plan for eBay. Cohen said the company could slash $2 billion in annualized costs within the first 12 months after the deal closes by reducing spending on marketing, product development, and corporate overhead.
A major part of the pitch also focuses on the overlap between the two companies in categories like trading cards, retro video games, and collectibles.
Cohen proposed using GameStop’s roughly 1,600 U.S. stores as a network of authentication and fulfillment sites. Store employees, who already inspect and grade gaming hardware and trading cards, could help verify collectibles sold on eBay before they are shipped to buyers. The locations could also serve as drop-off and shipping centers for sellers.
Additionally, Cohen is pitching the idea that GameStop stores could double as broadcasting studios for live commerce where sellers livestream while selling products — think QVC meets TikTok and Twitch.
For its part, EBay confirmed Monday that it had received the offer and said it would consider the proposal with a focus “on the value to be delivered to EBay shareholders, including the value of the GameStop stock consideration and the ability of GameStop to deliver a binding, actionable proposal.”
The proposal comes as eBay has already been working through its own turnaround efforts focused on younger shoppers. In February, the company announced it was acquiring the secondhand fashion app Depop. That same month, eBay also announced plans to cut about 6% of its workforce, or roughly 800 jobs.
In his proposal, Cohen also pointed to his own track record of turning GameStop around. In a press release, the company said it had gone from a $381 million net loss in fiscal 2021 to $418 million in net income in fiscal 2025 under his leadership.
Before leading GameStop, Cohen founded the online pet food retailer Chewy. He built a major stake in GameStop in 2020 and became one of the key figures behind the company’s meme-stock frenzy in 2021 before eventually taking over as CEO.
If eBay rejects the offer, however, things could take a more hostile turn. Cohen told The Wall Street Journal that he is prepared to launch a proxy fight and take the proposal directly to eBay shareholders.
