GameStop converts $4B in eBay options into a direct 9.8% stake, intensifying its hostile bid
GME is trading near its 52-week low of $19.93 (9.6% above the low) on light trading volume (0.4× avg).
Summary
GameStop exercised all its Put/Call Pairs to acquire 39 million eBay shares for $3.97 billion, and bought an additional 3.5 million shares on the open market, raising its stake to 9.8%. The move converts derivative exposure into direct voting power, intensifying its hostile bid for eBay.
Key Events · Ownership and Investor Activity · GME
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Physical Settlement of Put/Call Pairs
On July 15, 2026, GameStop elected to physically settle all 39,046,658 Put/Call Pairs, paying an aggregate strike price of $3.97 billion at an average $101.30 per share, plus $9.8 million in net premiums.
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Open Market Purchases Add to Stake
Between June 8 and 15, 2026, the company bought an additional 3,516,077 eBay shares on the open market for $381.3 million, at prices ranging from $107.50 to $109.57 per share.
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Ownership Rises to 9.8%
Post-settlement, GameStop beneficially owns 43,390,383 shares, representing 9.8% of eBay's outstanding common stock, up from 6.55% economic exposure previously.
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Hostile Bid Escalation
The conversion to direct share ownership gives GameStop voting power to influence eBay's board and shareholder decisions, marking a significant escalation in its $55.5 billion hostile takeover attempt.
Analysis · GME · Trade & Services
By physically settling all 39 million Put/Call Pairs, GameStop has converted its economic exposure into direct ownership of 9.8% of eBay. This $3.97 billion move, combined with $381 million in open market purchases, transforms the company from a derivative holder into eBay's largest shareholder. The action removes any uncertainty about its commitment and grants voting power to pressure eBay's board, escalating the hostile takeover battle. Notably, the average strike price of $101.30 per share—well above eBay's current $21.85—underscores the premium GameStop is willing to pay to gain control.
At the time of this filing, GME was trading at $21.85 on NYSE in the Trade & Services sector, with a market capitalization of approximately $9.8B. The 52-week trading range was $19.93 to $28.10. This filing was assessed with positive market sentiment and an importance score of 9 out of 10.