eBay Inc. shares dropped 1.4% to a session low Wednesday after comments from GameStop Corp.'s CEO, Ryan Cohen, who outlined an assertive approach to a potential takeover.
Speaking on Bloomberg TV, Cohen confirmed that GameStop is pursuing eBay and said the company intends to bring its proposal directly to shareholders. In the interview he stated, "we're coming for eBay one way or another." He criticized eBay's leadership, calling executives "entrenched and hiding behind advisors," and said he would not "negotiate against myself" to improve an offer.
Cohen also addressed financial considerations for a possible combination of the two companies. He said debt incurred by an eBay-GameStop pairing would be investment grade and asserted that GameStop shareholders would benefit from cost savings arising from the transaction. He added that many investors have shown interest in the idea.
The remarks arrive as GameStop appears to be advancing an unsolicited approach for the e-commerce platform, a move that suggests strains between the two boards as GameStop seeks to press its proposal despite what has been framed as resistance from eBay's management team.
Following the television interview, eBay shares declined as market participants absorbed Cohen's forceful tone and his intention to pursue the deal even in the face of apparent opposition from eBay executives.
The situation remains one of active engagement initiated by GameStop, with public statements from its CEO emphasizing a commitment to move the proposal forward and to involve shareholders directly. Beyond the comments about financing and expected cost synergies, Cohen highlighted investor interest but did not provide additional detail on timing or specific mechanics of any offer in the interview.
As the episode unfolded on air, the market reaction focused primarily on eBay's stock drop and on the growing visibility of the dispute between an activist bidder and the target's management. Observers will likely continue to watch communications from both companies for further developments.
Summary
GameStop's CEO publicly declared an intent to press an acquisition of eBay, telling viewers he will take the plan to shareholders and criticizing eBay's management, while asserting that the combined company's debt profile would be investment grade and that GameStop holders would gain from cost savings. eBay shares fell 1.4% to a session low following the comments.