Ryan Cohen proposed acquiring eBay for 56 billion, and his personal account was permanently banned by the platform

According to a screenshot posted by GameStop CEO Ryan Cohen on social media on May 7, Cohen’s eBay personal account was permanently disabled just two days after it submitted an offer to buy eBay for $125 per share, for a total of about $56 billion. The notification from eBay cited the reason as: “Some of the user’s activities are creating risk for the eBay community.”

eBay Account Ban: Background and Details

Based on the screenshot Cohen posted and related reporting, Cohen previously auctioned personal items on his eBay account (including video games, sports memorabilia, and GameStop merchandise) and publicly stated that this was “selling things on eBay to pay for the costs of acquiring eBay.” He also published comments criticizing the eBay board on the platform. On the day the account was disabled, Cohen had also reached eBay’s platform-set monthly maximum listing amount limit. eBay did not publicly comment on the account suspension.

$5.6 Billion Acquisition Proposal: Structure and Financing Constraints

According to GameStop’s official proposal documents, GameStop proposed to acquire all of eBay’s shares with a 50/50 mix of cash and stock at $125 per share. As of January 31, 2026, GameStop held about $9.4 billion in cash and liquid assets, and also had a $20 billion financing letter from TD Securities, with wording described as “highly confident.”

Two people familiar with the matter told The New York Times that the financing letter is not legally binding, and that the level of confidence is partly based on the assumption that the combined company would achieve an investment-grade credit rating. Moody’s said on Tuesday that the proposed transaction would have a “negative impact” on the credit rating, and noted that it would cause eBay’s debt to jump from $7 billion to $31 billion.

Reactions From All Sides: Burry Dumps His Holdings, Analysts and the Stock Price

Well-known investor Michael Burry said in a Substack post on Monday that he had sold all of his GameStop holdings, citing concerns about the size of the debt involved in the acquisition deal. Burry wrote in the post: “Don’t confuse debt with creativity.”

Don Bilson, head of event-driven research at Gordon Haskett, said: “Cohen’s first attempt to pitch this transaction didn’t go smoothly.” In a CNBC interview on May 4, 2026, Cohen was unable to clearly explain how GameStop would fund the cost of acquiring eBay, repeatedly asked the host to consult GameStop’s official website, and did not directly answer questions.

In a May 7, 2026 report by The New York Times, GameStop’s stock price was down about 6% since the acquisition news was disclosed; eBay’s stock price was about 14% below the $125 per share offer price proposed by Cohen.

FAQ

Why was Ryan Cohen’s eBay account permanently disabled?

According to a screenshot of an eBay official notice posted by Cohen on social media, the ban reason was “Some of the user’s activities are creating risk for the eBay community.” Cohen previously auctioned personal items on the account and posted comments criticizing the eBay board, and on the day the account was disabled, he had already hit the platform’s monthly maximum listing amount limit.

What disclosed constraints are there in GameStop’s financing plan to acquire eBay?

According to two people familiar with the matter told The New York Times, the $20 billion financing letter issued by TD Securities is not legally binding, and the confidence level is partly based on the assumption that the combined company would achieve an investment-grade credit rating. Moody’s also said the transaction would cause eBay’s debt to surge from $7 billion to $31 billion, creating a “negative impact” on the credit rating.

Why did Michael Burry sell all his GameStop holdings?

According to Burry’s Substack disclosure in May 2026, the main reason he sold all his GameStop holdings was his concern about the magnitude of the debt involved in the acquisition proposal.