WHAT HAPPENED
7bn takeover bid for eBay, in favour of a partnership with the online marketplace. Chief executive Ryan Cohen is weighing a deal that could allow eBay to make use of GameStop’s roughly 1,600 US stores as the two businesses look to grow their presence in higher-margin categories including trading cards and collectibles, Bloomberg reported. Under the potential partnership, the video game retailer would also seek seats on eBay’s board. The move would mark a change in strategy after eBay rejected GameStop’s unsolicited $56bn takeover approach in May, branding the proposal “neither credible nor attractive”. The bid had raised eyebrows among investors and analysts as eBay was valued at almost six times GameStop’s market capitalisation, while questions were also raised over plans to finance the transaction through a combination of debt and new shares.
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