EBay wants GameStop to get lost.
A week after GameStop announced its $55 billion offer to acquire eBay, the online auction website has officially rejected the proposal. The denial comes after what eBay said was a “thorough review with the support of its financial and legal advisors”.
In a statement denying the proposal, eBay’s Chairman of the Board of Directors said that the offer lacked credibility.
“We have concluded that your proposal is neither credible nor attractive,” Paul S. Pressler’s statement reads.
Pressler says that the board took into account eBay’s standalone prospects, the uncertainty surrounding GameStop’s financing proposal, and the proposal’s impact on the company’s long-term growth and profitability, among other concerns.
“eBay is a strong, resilient business that has delivered meaningful results over the past several years,” Pressler said. “We have sharpened our strategic focus, strengthened execution, enhanced our marketplace and seller experience, and consistently returned capital to shareholders.
“With its differentiated global marketplace and a clear strategy, eBay’s Board is confident that the company, under its current management team, is well-positioned to continue to drive sustainable growth, execute with discipline, and deliver long-term value for our shareholders.”
As of publishing, GameStop has not responded to the denial. It’s unclear if their offer was a one-off attempt to buy eBay or if they’ll make a second offer for the company. As updates come, Insider Gaming will bring you full details.
Do you think this is the end of GameStop’s attempt to buy eBay? Leave your thoughts down in the comments and in the official Insider Gaming Discord.
In other news, read about Sega cancelling its Super Game Initiative after five years. And for even more Insider Gaming delivered directly to your inbox, sign up for our newsletter.
Mike has been covering the gaming industry since 2012, and has reported on some of the largest events in the industry while also working as an investigative reporter. Outside of…
More from Mike Straw
Comments