Brands
GameStop doubles down on $56 billion eBay bid despite rejection
Video game retailer sticks with ambitious takeover plan as it forecasts stronger earnings for fiscal 2026.
TEXAS: GameStop has reaffirmed its intention to pursue its proposed $56 billion cash-and-stock acquisition of eBay, despite the e-commerce giant rejecting the unsolicited takeover proposal earlier this year, according to a Reuters report.
In a brief regulatory filing released on Friday, the video game retailer said it remains committed to the proposed transaction and indicated that further details outlining its strategic rationale and operational plans would be released soon. The company, however, stopped short of revealing its next steps following eBay’s rejection.
The bid, first unveiled in May by Ryan Cohen, surprised Wall Street due to the sheer scale of the proposed acquisition. Cohen argued that combining GameStop’s gaming and retail footprint with eBay’s global marketplace would create a stronger competitor to Amazon, adding that he intends to lead the merged company if the transaction succeeds, Reuters reported.
While eBay rejected the offer shortly after it was made, GameStop has shown no signs of backing away. The company had previously promised to publish a detailed presentation explaining the strategic and operational benefits of the merger. Although those materials were not released this week as expected, GameStop reiterated in its filing that “additional materials regarding the proposed transaction are forthcoming.”
Alongside the takeover update, GameStop issued a bullish earnings outlook for fiscal 2026. The company expects adjusted earnings before interest, taxes, depreciation and amortisation (EBITDA) to exceed $600 million, up sharply from $345.4 million reported in fiscal 2025.
The optimistic guidance lifted investor sentiment, with GameStop shares rising more than 2 per cent in after-hours trading following the announcement, according to Reuters.
GameStop’s persistence signals that it is prepared for a potentially prolonged pursuit of one of the largest deals ever attempted by the video game retailer, even as eBay remains firmly opposed to the proposal.
