GameStop Boosts eBay Stake to Near 10%: Acquisition Push Continues

GameStop disclosed it has increased its stake in eBay to 9.8%, holding 43.4 million outstanding shares, and reiterated its commitment to pursue the acquisition.

The Real Picture of Ownership: 9.8% in Play

■GameStop reported ownership of 43.4 million eBay shares (9.8%), up from an initial 5% economic stake disclosed in early May.

■Last month it purchased 3.5 million shares for roughly $381 million; on Friday it settled another 39 million shares via put/call pairs.

■CEO Ryan Cohen had earlier said he wanted to buy eBay for about $56 billion.

Financing Gambit: TD Securities’ $20 Billion Commitment

■TD Securities provided a non‑binding commitment letter for up to $20 billion in debt, contingent on the combined firm achieving an investment‑grade credit rating.

■Cohen also pledged $500 million of his own capital to the deal.

■Wall Street repeatedly questions the financing plan, noting the reliance on securing that rating before the debt can be drawn.

Cohen’s Words: ‘I Won’t Negotiate Against Myself’

■In a Bloomberg Television interview Cohen stated, “I’m not going to negotiate against myself,” signaling he will pursue eBay by any means.

■He also criticized the media for a “complete failure” to explain the deal’s rationale, citing a “highly confident” letter from his banks as proof of financial backing.

Gökberk Uçar: GameStop’s growing eBay position is more than a mere investment; it is a strategic step toward integrating its logistics and cargo network with a digital commerce platform. If the financing closes, the combined entity could directly challenge Amazon’s dominance in e‑commerce and secondary‑goods markets. However, the conditional $20 billion debt commitment from TD Securities and the requirement for an investment‑grade rating introduce substantial execution risk, likely keeping the stock volatile in the near term.