Highlights
- GameStop plans a major public acquisition to pursue a $100B market valuation.
- Ryan Cohen’s $35B payout is tied to hitting the $100B threshold.
- Ongoing store closures underscore the shift toward a new business strategy.
GameStop chief executive officer (CEO) Ryan Cohen has confirmed plans to pursue a major acquisition of a publicly traded company, outlining a high-risk strategy aimed at lifting the retailer’s market capitalization to $100 billion USD. Speaking to The Wall Street Journal, Cohen said any deal would be substantial, adding that the outcome would be “either going to be genius or totally, totally foolish.”
Under a plan approved by GameStop’s board earlier this month, Cohen stands to receive a payout worth up to $35B if the company’s market value reaches $100B. GameStop is currently valued at about $10.68B and peaked at $33.7B during the January 2021 meme stock rally.
Shares still trade about 81% below their 2021 high of $121, though the stock rose 3.5% following Cohen’s comments.
Cohen told the Journal he is focused on consumer and retail companies, and has already identified several potential targets. GameStop has roughly $9B in cash and liquid securities available, which Cohen stated could be deployed toward a large transaction.
He described the retail sector as containing “diamonds in the rough” run by underperforming management teams, adding, “I didn’t fix GameStop to stop there.”
GameStop Store Closures, Crypto, and Digital Bets Shape Strategy
The acquisition drive comes as GameStop continues to shrink its physical footprint. At least 470 U.S. store closures have been confirmed so far in 2026, following 590 closures during the 2024 financial year.
The company has exited Ireland, Switzerland, Austria, and Germany; sold its Italian business; and is seeking buyers for its French and Canadian subsidiaries. It has also confirmed the closure of its remaining 38 EB Games stores, owned by GameStop, in New Zealand.
At this point, a high-risk option would involve acquiring Bitcoin miner Marathon Digital for about $5.5B and expanding GameStop’s Bitcoin treasury strategy, potentially benefiting from a sharp Bitcoin rally. A lower-risk alternative would be acquiring Discord for $5B to $8B to pivot toward digital services and advertising-driven revenue over several years.
Either route would require a dramatic shift in GameStop’s business model, underscoring the scale of the bet Cohen is willing to make.
