eBay Rejects GameStop’s $55.5 Billion Bid as ‘Not Credible’

In a statement released through PR Newswire, eBay said its Board of Directors, along with financial and legal advisors, conducted a thorough review before deciding to reject the non-binding proposal submitted by GameStop.

It stated, "following a thorough review with the support of its financial and legal advisors, the company's Board of Directors has determined to reject GameStop's unsolicited, non-binding acquisition proposal".

The company also released the full response letter sent by eBay Chairman Paul S. Pressler to GameStop Chief Executive Officer Ryan Cohen.

In the letter, eBay stated that the board had considered several factors before rejecting the proposal, including eBay's standalone business prospects, uncertainty around GameStop's financing plan, the impact on eBay's long-term growth and profitability, operational and leverage risks of a combined entity, valuation implications, and concerns related to GameStop's governance and executive incentives.

"We have concluded that your proposal is neither credible nor attractive," the letter stated.

eBay further said it remains confident in its current business strategy and management team, highlighting that the company has strengthened execution, improved marketplace and seller experience, sharpened its strategic focus and consistently returned capital to shareholders over the past several years.

The company added that its differentiated global marketplace and current strategy position it well to continue delivering sustainable long-term growth and shareholder value.

Earlier on May 4, GameStop had announced that it submitted a proposal to acquire 100 per cent of eBay at USD 125.00 per share through a mix of cash and stock.

According to GameStop, the proposal represented a 46 per cent premium to eBay's unaffected closing price on February 4, 2026, which was the date GameStop began building its position in the company.

GameStop stated that it had accumulated a 5 per cent economic stake in eBay through derivatives and common stock ownership.

The gaming retailer had valued the proposed transaction at an aggregate undiluted equity value of around USD 55.5 billion. The company also said the offer reflected a 27 per cent premium to eBay's 30-day volume-weighted average price and a 36 per cent premium to the 90-day volume-weighted average price.

Despite the proposal, eBay's board maintained that the company is better positioned to continue independently under its existing leadership structure and strategic direction.

- ANI