GameStop has doubled down on its audacious bid to acquire eBay, with CEO Ryan Cohen escalating what may become one of the most unconventional corporate takeover attempts in recent memory. The video game retailer now holds approximately 10% economic interest in the online marketplace giant, signaling Cohen's determination to pursue the deal "one way or another."

A $57 Billion Gamble

The saga began in May when GameStop submitted a non-binding proposal to acquire 100% of eBay at $125.00 per share in cash and stock. The offer represented a 46% premium to eBay's unaffected closing price on February 4, 2026 — the day GameStop began quietly accumulating its position through derivatives and beneficial ownership.

GameStop initially built a 5% economic stake in eBay before going public with its intentions. Now, having doubled that position, the company has demonstrated it's not making an idle threat.

Shareholders Clear the Path

GameStop stockholders approved all proposals at the company's 2026 annual meeting this week, clearing the way for a larger share count and advancing the proposed acquisition. The amendment to GameStop's certificate of incorporation increases authorized Class A common stock, giving Cohen more ammunition for his all-stock component of any potential deal.

The shareholder vote represents a remarkable show of faith in Cohen's strategic vision. GameStop's retail investor base — the same community that sent the stock soaring during the 2021 meme stock phenomenon — appears ready to follow their CEO into battle against a company nearly four times GameStop's size.

Cohen's Bold Statement

In a statement following the stake increase, Cohen made his intentions clear: GameStop will pursue eBay "one way or another." The language suggests the retailer may be prepared to wage a proxy fight or pursue other hostile tactics if eBay's board continues to resist engagement.

Cohen has also withdrawn his CEO performance award, telling investors he wants leadership "focused on the proposed eBay acquisition." The gesture signals personal commitment — and perhaps acknowledgment that this deal will define his tenure at GameStop's helm.

Why eBay?

The strategic logic, while unorthodox, carries a certain appeal. eBay's marketplace infrastructure could provide GameStop with the digital commerce backbone it has struggled to build organically. The combination would create a significant competitor to Amazon in the consumer-to-consumer and collectibles markets where both companies have strength.

GameStop has transformed from a mall-based retailer of physical video games into a company sitting on substantial cash reserves, largely thanks to multiple stock offerings that capitalized on its meme-stock status. That war chest — combined with the new share authorization — gives Cohen real currency to pursue his ambitions.

Wall Street Skepticism

Despite Cohen's aggressive moves, Wall Street remains skeptical. The Financial Times described the pursuit as "quixotic," and many analysts question whether GameStop can realistically complete a deal of this magnitude.

eBay's board has shown no interest in engaging with GameStop's proposal, and the size disparity between the two companies creates obvious challenges. GameStop's market capitalization, while substantial by its own historical standards, remains a fraction of what would typically be required to acquire eBay.

The Meme Stock Factor

What makes this situation unique is GameStop's ability to leverage its meme-stock premium. The company's retail investor following creates unusual dynamics that traditional corporate finance models struggle to capture. If Cohen can maintain that premium while issuing new shares, the stock component of his offer becomes more valuable than fundamental analysis might suggest.

It's a high-wire act: dilute too much and the stock crashes; back down and lose credibility. Cohen appears to have chosen the path of maximum aggression.