GameStop targets a transformational mega-acquisition to unlock hundreds of billions in value
GameStop CEO Ryan Cohen says the retailer is pursuing a very large, publicly traded consumer-company acquisition that could be transformational and worth hundreds of billions, vastly exceeding its current ~$10B market cap. He won’t name targets but describes them as undervalued, high-quality, scalable with growth, and led by a “sleepy” management team. The plan is supported by a hefty cash pile and an equity incentive that pays out only if a $100B market cap and $10B EBITDA are reached. Skeptics doubt such a leap is feasible in retail, though investor Michael Burry has been buying shares. Cohen also hints he may not liquidate GameStop’s bitcoin, calling the new strategy “way more compelling than bitcoin” and likening it to a Berkshire Hathaway-style approach to creating value.
