The e-commerce pioneer labeled the half-cash, half-stock offer as neither attractive nor realistic for its shareholders.
Market analysts consistently doubted the smaller retailer’s ability to acquire a company nearly four times its size.
EBay Chairman Paul Pressler expressed full confidence in his current management team and their sustainable growth strategy.
The rejection follows a period where eBay shares traded significantly below GameStop’s proposed $125 per share valuation.
GameStop CEO Ryan Cohen previously threatened a hostile bid to bypass the board and reach shareholders directly.
However, credit agencies warned that such a massive debt-fueled acquisition would likely damage eBay’s current investment-grade rating.
Investors like Michael Burry recently exited their positions, fearing the deal would create excessive corporate debt.
EBay now focuses on its independent turnaround efforts to maintain its lead in the global marketplace.
