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GameStop makes $55.5B takeover offer for eBay

bbc.co.uk

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Re: GameStop makes $55.5B takeover offer for eBay

#721

Post by nyeah »

xnx wrote: post #713
nyeah wrote: post #707

Earlier quoted context omitted.

In theory, the high share price driven by the LBO offer.

Seems reasonable for two consenting parties to mutually agree to a deal.

It can be, sure. But a two-way deal might also affect third parties.

Example: what if Adleman hires Rivest to put laxative in Shamir's soup? Two consenting parties have made a deal. Shamir freely chooses to eat his soup, despite knowing that he has only imperfect information.

So that scenario works out as desired.

But intrusive government regulation might come into play. Maybe the state prohibits poisoning soup. That harms the free market, and it's wrong. But, perversely, Shamir might benefit (at Adleman and Rivest's expense).

Re: GameStop makes $55.5B takeover offer for eBay

#722

Post by trollbridge »

turtlesdown11 wrote: post #708
trollbridge wrote: post #702

Earlier quoted context omitted.

A strong cash position business like that is effectively a finance sort of business, in other words, exactly the kind well positioned to go conduct an LBO.

> A strong cash position business like that is effectively a finance sort of business You are conflating companies that make a lot of cash (and therefore can afford debt service) to a company that has limited cash flow, but has a large pile of cash. The shareholders would be best served by a special dividend of the cash. Management has shown zero ability to grow a business.

In this case, the shareholders don't want a special dividend and prefer to own a company that has a strong cash position. There is nothing at all wrong with shareholders choosing that.

There are plenty of other stocks to invest in if one wants a highly-leveraged company that is trying to grow really fast.

Re: GameStop makes $55.5B takeover offer for eBay

#723

Post by snapcaster »

qaq wrote: post #710
snapcaster wrote: post #705

Earlier quoted context omitted.

Why mess with all this shit unless you're trying to retroactively justify a really heavy bag you're holding. If you invest in good companies making good profits you don't have to care about any of this stuff. Free yourself, you have nothing to lose but your bags

I am not messing with these just looked really fkd up how Citadel was able to abuse it's position

It wasn't, and the fact that you think market makers are "abusing positions" is so fundamentally wrong it's hard to even argue with you

I'm sorry but your brain has been fried by ape memes and you need a full reset on your understanding of finance

Re: GameStop makes $55.5B takeover offer for eBay

#724

Post by hdndjsbbs »

59percentmore wrote: post #688
hdndjsbbs wrote: post #681

Earlier quoted context omitted.

Yes, the loan is the leverage. It's secured against the assets of eBay. If the acquisition fails to produce efficiencies the resulting company has a bunch of extra, arguably unnecessary debt from the acquisition that a free-standing eBay wouldn't have.

Big if. I think you could frame the debt as lacking necessity but presenting opportunity.

In theory eBay should be one of those bubbly dot-com companies that kind of settled into a lifestyle business by virtue of longevity. It's no longer commanding insane multiples but it has revenue and a dedicated fanbase. They sold off Paypal which was (afaik) the only stable/growing part of the company.

So you're taking a big, but slow-changing auction website and stapling it to a dying brick-and-mortar retail business which survives on meme stock issuance and their die-hard fanbase gambling.

Re: GameStop makes $55.5B takeover offer for eBay

#725

Post by v4dm »

ball_of_lint wrote: post #545
v4dm wrote: post #505

Earlier quoted context omitted.

Gets paid compensation in stock. So if shareholders lose value, he does too.

Not exactly, https://investor.gamestop.com/news-releases/news-details/202... He has to hit both the market cap and EBITDA for each tranche of his compensation plan to vest. He could do this by growing the core business, or by doing a merger like the proposed eBay one. Even if such a merger was very dilutive, even value destroying, it could help him vest a tranche he otherwise would not, for more value than the diluti…

Do you understand that these shares are not awarded, though? He has to BUY them, so if they are worthless, his comp will be too.

Re: GameStop makes $55.5B takeover offer for eBay

#726

Post by wmoxam »

mywittyname wrote: post #504
wmoxam wrote: post #322

Earlier quoted context omitted.

Facebook marketplace is an everything shop, though a bit more local in nature. Also, it's much easier for small businesses that ship to have an online store thanks to Shopify, etc. The last few times I've used EBay is to get parts for old garden tractors, and even for that I've found cheaper options with small retailers that specialize in that stuff. Most ebay shipping pushes the cost up too much, and with the small…

FB Marketplace is full of scammers too. Every time we've tried to sell something, we've had people try to steal our phone number and register it with their Google Voice account.

How do they try to steal your phone number?

I've only contacted buyers/sellers in FB Marketplace via FB Messenger so they don't even have my number ..

Re: GameStop makes $55.5B takeover offer for eBay

#727

Post by qaq »

snapcaster wrote: post #723
qaq wrote: post #710

Earlier quoted context omitted.

I am not messing with these just looked really fkd up how Citadel was able to abuse it's position

It wasn't, and the fact that you think market makers are "abusing positions" is so fundamentally wrong it's hard to even argue with you I'm sorry but your brain has been fried by ape memes and you need a full reset on your understanding of finance

You literally produced 0 arguments. Market maker is pretty irrelevant to the situation influential institution who's goals are aligned with other major players having pull on DTCC actions would be more relevant. I again have not dug in too much as was not relevant to me but looked fairly suspicious. I have direct knowledge of relevant situation where investment bank arm or top 5 US bank had Knight Capital Group type moment. They had enough pull to make all transactions not clear and get unwound so exerting that type of influence would not surprise me.

Re: GameStop makes $55.5B takeover offer for eBay

#728

Post by Forgeties79 »

solumunus wrote: post #417
Forgeties79 wrote: post #372

Earlier quoted context omitted.

Yes and it was 1) incredibly notable, 2) 13 years ago, 3) in another country, and 4) following one of their worst performing products ever. Iwata's (maybe voluntary) temporary pay cut was big news because of how exceptional it was.

Ryan Cohen doesn’t even take a salary. I guess that’s extremely notable then?

Is this extremely notable?

https://www.cnbc.com/amp/2026/05/12/ebay-rejects-gamestops-t...

Re: GameStop makes $55.5B takeover offer for eBay

#730

Post by vladmk »

SV_BubbleTime wrote: post #541
vladmk wrote: post #507

If they can do it, then I can do it. Why not? Making the same bid with made up money

Do you have 9 billion in cash? Or are you as clueless as others about Gamestop from 2022 on?

Definitely clueless - I’m not a genius like you who takes jokes seriously
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