GameStop Boosts Economic Stake in eBay After Rejected Bid

GameStop Corp. has significantly increased its economic stake in eBay Inc., escalating its campaign to acquire the e-commerce giant just days after its unsolicited takeover bid was rejected. A regulatory filing submitted on Tuesday shows the video game retailer now holds an economic interest in approximately 29.1 million shares of eBay, representing about 6.55% of the company's outstanding stock, up from a previous stake of roughly 5%.

The increased position was built using derivative instruments, specifically paired put and call options, rather than through direct share purchases. According to the filing, this strategy allowed GameStop to gain substantial economic exposure to eBay shares while spending only around $10 million. The company also directly owns 25,000 shares.

This move follows GameStop's surprise offer earlier this month to acquire eBay for roughly $56 billion, or $125 per share in a cash-and-stock transaction. eBay's board swiftly rejected the proposal, calling it "neither credible nor attractive." The board cited concerns over the financing of the deal and skepticism about the strategic fit, noting that eBay is roughly five times larger than GameStop by market...