GameStop is reportedly preparing an offer to buy eBay
Key takeaways
- It doesn't look like Game Stop's wild ride is stopping anytime soon, after the Wall Street Journal reported that the company is about to make an offer to acquire e Bay.
- The WSJ noted that Game Stop's market value sat at around $11 billion, while e Bay towered over it with a $45 billion market value, as of Friday's market close.
- It's important to note that the company's CEO, Ryan Cohen, could receive a $35 billion in stock if he meets certain criteria, including increasing GameStop's market value to $100 billion.
Stefano Chiacchiarini '74/Shutterstock. It doesn't look like Game Stop's wild ride is stopping anytime soon, after the Wall Street Journal reported that the company is about to make an offer to acquire e Bay. While an official offer hasn't been submitted yet, WSJ said that Game Stop could make a buyout offer for e Bay "as soon as later this month."
The WSJ noted that Game Stop's market value sat at around $11 billion, while e Bay towered over it with a $45 billion market value, as of Friday's market close. The report didn't have details on the potential offer, but WSJ said that Cohen could also take the offer directly to eBay's shareholders instead if eBay isn't receptive.
It's important to note that the company's CEO, Ryan Cohen, could receive a $35 billion in stock if he meets certain criteria, including increasing GameStop's market value to $100 billion. Acquiring eBay could also be a part of Cohen's plans to evolve GameStop beyond its reputation as a video games and collectibles retailer.