GameStop has withdrawn a performance bonus plan worth up to $35 billion for CEO Ryan Cohen so he can focus on the company's proposed acquisition of eBay. The move, announced Wednesday, comes weeks after eBay rejected GameStop's unsolicited $55 billion bid. Additional details on the bid are expected this week.
Cohen forgoes performance award tied to aggressive targets. The bonus, approved in January 2026, was linked to a tenfold increase in GameStop's market capitalization and significant profit growth, according to multiple reports. Bloomberg reports the maximum payout required GameStop to reach a $100 billion market cap. Cohen will no longer pursue those milestones.
Cohen will no longer pursue those milestones.
The company stated that its leadership must now concentrate fully on operating performance and the eBay proposal. This decision follows an investor class-action suit, noted by Bloomberg, that sought to pause the bonus until further disclosures.
GameStop's May bid for eBay was rejected within days. On May 3, 2026, GameStop proposed acquiring eBay in a deal valued at approximately $55-56 billion, split evenly between cash and GameStop stock. Cohen would have served as dual CEO of the combined entities. eBay's board dismissed the offer as neither credible nor attractive, with Chairman Paul S. Pressler delivering the rejection.
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Despite the rebuff, GameStop has continued pressing its case. The company plans to release a detailed presentation this week outlining the strategic rationale and operational plan for combining the businesses. Wednesday's announcement explicitly clarified that it does not constitute a formal offer or solicitation and is for informational purposes only.
The withdrawal of Cohen's bonus removes a major potential payout that could have diluted focus or drawn further legal scrutiny.
Market values highlight the scale of the ambition. As of publication, eBay holds a market capitalization of roughly $49 billion, with shares trading around $110.56. GameStop's market cap stands at $9.58 billion, with shares at $21.36—more than five times smaller than its target. The bid would have required substantial financing and shareholder approval on both sides.
The withdrawal of Cohen's bonus removes a major potential payout that could have diluted focus or drawn further legal scrutiny. GameStop shows no signs of abandoning its pursuit of the long-running auction platform.
