eBay Rejects GameStop's $56 Billion Takeover Bid

eBay Inc. has declined an unsolicited $56 billion acquisition proposal from GameStop Corp., labeling the bid as "neither credible nor attractive."

In a letter to GameStop CEO Ryan Cohen, eBay Chairman Paul Pressler highlighted concerns regarding the financing of the deal, potential operational risks, and the impact on eBay's long-term growth and profitability.

GameStop's proposal, valued at $125 per share in a combination of cash and stock, aimed to leverage eBay's platform to compete more effectively with online retail giants. The retailer suggested utilizing its 1,600 U.S. stores as logistics hubs and hosting live sales broadcasts featuring eBay products.

eBay's board expressed confidence in the company's current management and strategic direction, asserting that eBay is well-positioned to continue driving sustainable growth and delivering long-term value to shareholders.

GameStop has not provided an immediate response to eBay's decision. Following the announcement, GameStop's stock declined by 4% in pre-market trading.