GameStop has floated a $55.5 bn takeover bid for eBay, positioning former eBay CEO David Cohen as the new chief executive. The deal would fund the purchase with roughly $20 bn of debt from TD Securities, while Cohen would earn nothing but performance‑based pay.

The proposal targets eBay’s marketing and sales arm, a division the retailer says has failed to draw new users to its “marketplace with near‑universal brand recognition.” Analysts warn the merger would drape eBay with GameStop’s debt load, potentially stifling growth.

Shares surged after the news: eBay jumped over 13%, while GameStop rose about 4%. If closed, GameStop could elevate its valuation by pairing its physical retail network with eBay’s online platform, offering a national stage for eBay’s “live commerce” initiatives.