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GameStop Offers to Buy eBay for $56 Billion

GameStop Offers to Buy eBay for $56 Billion

Tech wsj.com
GameStop, valued at $12 billion, has made an unsolicited $56 billion offer to acquire eBay, despite having only $29 billion in identified funding sources.
What: GameStop offered to buy eBay for $56 billion, representing a 20% premium over eBay's Friday closing price. The offer is unusual because GameStop's market cap is only $12 billion, and while it has $9 billion in cash plus a $20 billion debt financing commitment from TD Bank, the source of the remaining $27 billion is unclear.
Original article

GameStop has made an unsolicited offer to buy eBay for $56 billion, a roughly 20% premium to the company's stock closing price on Friday. GameStop is a much smaller company than eBay and is currently valued at around $12 billion. The company has around $9 billion in cash and a commitment letter from TD Bank to provide up to $20 billion in debt financing to help make the deal possible, but it is unknown how the company will come up with the rest of the money.

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