GameStop offers to buy eBay for $56bn

Video game retail chain GamesStop confirmed to the BBC on Sunday that it is making a $56bn (£41bn) unsolicited takeover offer for e-commerce firm eBay.

GameStop's chief executive Ryan Cohen told the Wall Street Journal that he sees potential to make eBay a much bigger rival to Amazon, "worth hundreds of billions of dollars".

Cohen said his company has built a stake of around 5% in eBay and that the cash and stock takeover offer would value eBay at $125 a share, around 20% higher than its closing price on Friday.

The BBC has contacted eBay for comment.

Cohen also said that GameStop has a commitment letter from TD Bank to provide around $20bn in debt to help finance the deal.