eBay Rejects GameStop’s $56B Takeover Offer; Markets Doubt Deal

eBay’s board rejected an unsolicited takeover offer from GameStop valued at $55.5–56 billion. The proposal combined cash and stock at $125 per share. GameStop holds roughly a 5% stake in eBay.

eBay’s board cited uncertainty over how the deal would be financed and concerns about operational risks if the two companies combined. GameStop’s market capitalization is substantially smaller than eBay’s, a factor the board raised in assessing the proposal.

Prediction markets priced contracts backing a successful takeover at about 15.5% YES. That level was up from 12% the previous day and down from 16% a week earlier. Trading volume on those contracts reached $150,666 in face value over the past 24 hours.

GameStop presented its 5% stake in eBay and its extensive physical retail network as strategic assets in support of the offer. eBay’s board questioned whether the companies’ operations and financial structures could be integrated and whether GameStop could secure the necessary capital to complete a transaction of this size.

Key developments to watch include any additional statements from eBay’s board or major shareholders, whether GameStop lines up financing partners or alternative sources of capital, and potential regulatory review by the U.S. Federal Trade Commission and the Department of Justice. Any of those steps could affect the timeline and feasibility of a renewed bid.