Back to today’s briefing

Story perspectives

GameStop CEO Offers $56 B Bid to Acquire eBay

5/9/2026

49 7 Full Breakdown

Summary

Cohen Bids eBay

GameStop CEO Ryan Cohen made a $56 billion bid to buy eBay and become its CEO.
He offered $9 billion in cash, a $20 billion TD Bank debt letter and stock, saying the deal could cut $2 billion in annual expenses.
Cohen cited eBay’s 2025 operating income of $2.28 billion and a 24% EBITDA margin, criticized executives for selling stock without buying shares, and posted socks that drew bids over $14,000.

Summary

Burry Sells

Michael Burry sold his GameStop stake after Ryan Cohen announced the eBay bid.
Michael Burry’s “Instant Berkshire” model, which limits dilution and preserves net operating losses, said a $47 billion eBay deal would yield a 7.7 ratio, exceeding his comfort zone.
Michael Burry had proposed a $28 billion purchase of Wayfair, ADT and Assured Guaranty for a portfolio.
GameStop shares closed at $23.97, down 4.77% on the day the bid was revealed.

Summary

Cohen Suspended

eBay suspended GameStop CEO Ryan Cohen’s account less than 12 hours after his $55.5 billion bid.
eBay said his activity put the eBay community at risk and cited a $50,000 monthly limit.
Despite the suspension, listings stayed live, including a GameStop hat priced at $4,650 and socks at $14,188.
Cohen offered a hand-signed “Letter to eBay” to each buyer, prompting eBay to say it will review the proposal at board level.

History

Historical Context

In January 2001 AOL merged with Time Warner, giving AOL shareholders a 55 % stake in the $360 billion deal—the largest U.S. merger at the time. The union quickly faltered, posting a $99 billion loss in 2002 and prompting regulators to scrutinize cross-industry bids. That legacy now frames eBay’s board review of Ryan Cohen’s $56 billion GameStop proposal.

1 of 4

Cohen Bids eBay

GameStop CEO Ryan Cohen made a $56 billion bid to buy eBay and become its CEO.
He offered $9 billion in cash, a $20 billion TD Bank debt letter and stock, saying the deal could cut $2 billion in annual expenses.
Cohen cited eBay’s 2025 operating income of $2.28 billion and a 24% EBITDA margin, criticized executives for selling stock without buying shares, and posted socks that drew bids over $14,000.

1 / 4