{"text":[[{"start":10.65,"text":"Video game retailer GameStop is making a $55.5bn unsolicited offer for resale web giant eBay, the company announced on Sunday evening. "}],[{"start":20.4,"text":"GameStop has built a 5 per cent stake in eBay and is offering $125 a share, half in cash and half in stock. That represents a 46 per cent premium to eBay’s closing price on February 4, the day GameStop began accumulating its position."}],[{"start":37.75,"text":"In a letter to the chair of eBay’s board, GameStop chief executive Ryan Cohen said that he believed that a merger could cut costs and boost earnings. Cohen also said that GameStop’s storefront across the US, of which there are roughly 1,600, would give “eBay a national network for authentication, intake, fulfilment and live commerce”."}],[{"start":60.75,"text":"Cohen said he would serve as the chief executive of the combined company. "}],[{"start":65.4,"text":"GameStop, the world’s largest video game retailer, had declined in performance and popularity in recent decades as shopping shifted online. But the company’s value skyrocketed in 2021 during the initial meme-stock craze, when retail traders bought shares en masse, squeezing the substantial short sellers betting against GameStop. "}],[{"start":86.7,"text":"The company’s market capitalisation has fallen from its peak in 2021, but has remained substantially higher than it was pre-meme craze. As of Friday, GameStop was worth roughly $11.9bn, while eBay was valued at $46bn. "}],[{"start":103.95,"text":"Cohen said that he had secured a commitment letter from TD Bank for $20bn in debt financing. He has also said that if eBay rejects the offer, he will enter into a proxy fight and appeal directly to GameStop’s shareholders. "}],[{"start":117.9,"text":"GameStop declined to comment, while TD Bank and eBay did not immediately respond to requests for comment. "}],[{"start":124.9,"text":"A former dotcom darling, eBay has long struggled to respond to changing consumer habits and intense competition from ecommerce giant Amazon alongside newer platforms such as Depop and Vinted."}],[{"start":137.1,"text":"Under the leadership of former Walmart executive Jamie Iannone, the “recommerce” group has focused on delivering growth in several specific areas, including collectibles. "}],[{"start":147.4,"text":"On Wednesday, eBay said that gross merchandise volume — the total value of all paid transactions on its platform — rose 18 per cent in the first quarter of the year to $22.2bn. Iannone attributed the strength to the group’s positioning as a “marketplace of choice for enthusiasts”. "}],[{"start":165.70000000000002,"text":"Profits at the group climbed to $512mn in the quarter, up from $499mn the previous year. GameStop is expected to post results in early June. "}],[{"start":176.25000000000003,"text":"Earlier this year eBay said it planned to acquire Depop, a second-hand fashion platform popular with Gen Z and young millennials, from Etsy for around $1.2bn. The company plans to cross-list Depop sellers’ items on its platform through the acquisition aimed at increasing market share. "}],[{"start":200.55,"text":""}]],"url":"https://audio.ftcn.net.cn/album/a_1777859851_6023.mp3"}