GameStop Corp. Class A(GME.US) - A "David vs Goliath" style high-stakes gamble! CEO of Conn's, Inc. plans to acquire eBay (EBAY.US) at a premium of $56 billion, aiming to create a new e-commerce empire worth a trillion dollars.

According to reports from the media, GameStop Corp. Class A (GME.US) CEO Ryan Conn's, Inc. has revealed that the company plans to acquire the e-commerce platform eBay (EBAY.US) for approximately $56 billion in cash and stocks. Conn's, Inc. disclosed to media sources that they plan to offer a cash and stock price of $125 per share for the online retailer, which is about a 20% premium to its closing price on Friday. GameStop Corp. Class A already holds about 5% of eBay and has secured a commitment for $20 billion in debt financing from JPMorgan Chase for this transaction. Insiders say that the company is expected to publicly announce its acquisition offer later on Sunday. Conn's, Inc. stated in the report, "eBay should - and will - be worth much more," "I think eBay could be a company worth tens of billions of dollars." The founder of the pet supplies e-commerce site Chewy proposed to acquire a well-known electronic goods brand that is several times larger than the retail chain he currently operates. As of last Friday, GameStop Corp. Class A had a market cap of about $12 billion. eBay is much larger, with a market cap of about $46 billion, but this game retailer holds around $9 billion in cash. Analysts Punam Goyal and Sydney Goodman stated in a report last Friday, "Although the two companies have overlap in collectibles and second-hand resale business, we believe the likelihood of a deal being reached is low," "Any credible offer would result in significant dilution of equity and significant execution risk." Conn's, Inc. stated that they are prepared to engage in a proxy fight and will directly submit the acquisition offer to shareholders if necessary. Conn's, Inc. has set ambitious goals for themselves. In January of this year, the company disclosed a compensation plan that awards him more than 171 million stock options if he can increase GameStop Corp. Class A's market cap to $100 billion. Both companies are adapting to the evolving consumer preferences. As more video games are sold online, GameStop Corp. Class A has closed some stores and focused on collectible toys and trading cards business. eBay has been pushing collectibles and second-hand goods in its marketplace, leading to business overlap.