Business, Finance & Tech
eBay Rejects GameStop’s Unsolicited 56 Billion Dollar Takeover Bid as Not Credible
The board of directors at eBay has officially rejected an unsolicited 56 billion dollar takeover bid from GameStop, characterizing the proposal as neither credible nor attractive. The decision, announced on Tuesday, follows a week of speculation after GameStop CEO Ryan Cohen surprised Wall Street with an offer to purchase the significantly larger online marketplace.
In a letter sent to GameStop leadership, eBay Chairman Paul Pressler stated that the board completed a thorough review and concluded that the bid did not align with the best interests of eBay shareholders. A primary point of contention was the uncertainty surrounding GameStops ability to finance such a massive acquisition. At the time of the bid, eBay held a market capitalization of approximately 48 billion dollars, while GameStops value sat just over 10 billion dollars.
The proposed deal involved a mix of 50 percent cash and 50 percent GameStop stock, priced at 125 dollars per share. While GameStop claimed to have secured a 20 billion dollar debt financing commitment from TD Bank and intended to use nearly 10 billion dollars of its own cash reserves, eBay officials expressed skepticism regarding the long-term stability of a combined company saddled with such a high level of debt.
Ryan Cohens vision for the merger included using GameStops 1,600 physical retail locations as fulfillment and authentication centers for eBay products, a move he argued would allow the combined entity to challenge Amazon more effectively. Cohen also offered to serve as CEO of the merged company without a salary or bonuses to show his commitment to the turnaround.
Despite these promises, eBay remains confident in its current management and standalone strategy. The company highlighted its strong profit margins and recent growth under CEO Jamie Iannone as evidence that it is well-positioned for future success without a merger. Analysts noted that eBay’s stock has consistently outperformed GameStop’s over the last year, further complicating the logic of a takeover by the smaller retailer.
While GameStop has hinted at the possibility of taking the offer directly to eBay shareholders through a proxy fight, the formal rejection by the board represents a major hurdle for Cohens ambitious expansion plans.
Explore NBCPalmSprings.com, where we are connecting the valley.
By: NBC Palm Springs
May 13, 2026
Latest Instagram Posts
Coachella city council unanimously approved an anti-nepotism rule that ban an any Councilmember from appointing a family member or household member to the city’s commissions and committees. Tune in to our 11 p.m newscast as our @newsbyalondra breaks down the policy.
An anti-nepotism rule will be discussed and voted on at tonight’s Coachella City Council meeting - that would ban city council members from appointing their own family members or household members to commissions and committees. Tune in to our 8:30 p.m newscast and our socials and website as our @newsbyalondra brings us the latest details on that final vote.
☕️ Social Time with Thalia & Jerry. What’s your favorite NFL team?
A major cleanup is underway after powerful waves damaged 14 beachfront homes near Capistrano Beach in Orange County. Residents are concerned their homes could remain vulnerable without protective measures in place. Crews are clearing debris, while efforts to bring in protective boulders were delayed by high tide. #California #OrangeCounty #CapistranoBeach #CoastalWaves #Beachfront #WeatherNews
Two new Girl Scout cookies are coming in 2027 🍪 Meet Sparkables: a crunchy oatmeal cookie with chocolate chips and colorful sprinkles, developed with Partake in a facility designed to avoid the nine major food allergens. And for the pups: Patch Pals 🐾 Soft-baked, blueberry muffin-flavored dog cookies in four adorable designs. Both will be available online beginning in January. Which one are you most excited to try? #GirlScouts #GirlScoutCookies #NewCookies #DogTreats #FoodAllergyFriendly #CookieSeason
It’s more than just dancing — it’s fitness, confidence and community. A Coachella Valley dance studio is helping adults move their bodies, have fun and step into their power, one class at a time. And during Beyoncé’s birthday week, the energy was turned all the way up. “When in doubt, twerk it out.” See how VXN Worldwide Dance Company is getting the Valley moving — and building confidence along the way. Read more at NBCPalmSprings.com. #CoachellaValley #PalmSprings #Dance #Fitness #Community NBCPalmSprings
☕️ Social Time with Thalia & Jerry. What are you going to be for Halloween? 🎃
Labor Day traffic is picking up in Palm Springs. If you’re heading out, our Maria Noble Valdez has what you can expect on the roads here. Be sure to stay tuned with NBC Palm Springs and nbcpalmsprings.com for more Labor Day coverage #LaborDay #LaborDayTraffic #PalmSprings #TrafficUpdate #i10
Who makes the NBC Top 3, winner will be announced Sunday night on NBC Palm Springs, with the player who makes the number one spot winning a $250 prize from @hondaofthedesert! Comment below if it will be 1) Cael Woody with the dot under pressure, 2) Tatum Webster with the pass breakup, 3) Ivan Garza with the rushing TD, 4) Sean Meza with the toe tap, or 5) Jesus. Valenzuela with the strong hands #fypage #fridaynightlights #top3 #hondaofthedesert
Me On A Plate is back! We head over to @tacquila_ps to talk to chef David Arreguin about his love of spice, being the seventh of nine children, and his drive to always follow his passion. Check it out now on our website nbcpalmsprings.com