EBay rejects GameStop's $55.5 billion takeover bid

EBay connected Tuesday said it is rejecting GameStop's $55.5 cardinal takeover bid, calling the connection "neither credible nor attractive."

The rejection comes astir a week aft GameStop made its offer, with CEO Ryan Cohen arguing that the video crippled retailer's 1,600 locations would springiness eBay a "national network" for authentication, intake and fulfillment. 

In a statement, eBay said it rejected the bid due to the fact that of uncertainty astir GameStop's acquisition financing, arsenic good arsenic the leverage and operational risks of combining the 2 companies. 

GameStop, which already owns a 5% involvement successful eBay, offered $125 per stock successful currency and stock.

GameStop didn't instantly respond to a petition for comment.

GameStop, with a marketplace capitalization of astir $10.4 billion, is overmuch smaller than eBay, which is valued astatine astir $48 billion. GameStop became a alleged "meme stock" successful 2021 aft retail investors, mobilized connected Reddit, started buying its shares, driving it up by much than 2,000%.

Edited by Alain Sherter

In:

• GameStop
• eBay