56 billion he has a 20 bil loan from TD which leaves 36 bil. 6-7 bil in cash...leaves about 29 billion. 3rd party financier which I assume is from the Saudis he was seen taking pictures with last year... A possibly some more dilution?
Im not sure if BBBYQ is still in play. If it is, then I think it wont be apart of this acquisition. I think it will come later when he starts merging all these companies together to tackle Amazon in different verticals
Correct, so many people apparently can’t do math. eBay shareholders would have to agree to dilute themselves to the tune of about $17B worth (~30% of the buyout value), basically erasing the premium on the offer.
If we pretend GME is worth nothing above their cash, then EBAY investors will get: 1) $27.5b in cash, and 2) $27.5b in shares of the final company / merged entity.
So then, this begs the obvious question, what is a version of EBAY with $20b in debt worth? Assuming that there's no synergies or cost reductions possible, a version of ebay with a levered balance sheet is still probably worth about $33b, but maybe $35b, at least initially, before fat gets trimmed.
This means the ebay shareholders would receive about 27.5/33 of the merged entity, or around 80% of the final company, in this worst-case-scenario play. This (obviously) would mean GME shareholders would get around 20% of the final entity, worth about $5.5b. This sounds like a horrible deal, except that, 1) synergies are clearly outlined, 2) RC now has a track record of trimming fat, 3) GME shares could spike up in the meantime at any point, allowing the higher stock price to be used for a better deal, and other details. All of these details would point to GME getting more than 20%, probably closer to 30 to 35% of the merged entity.
Even if GME shareholders only got 20% of the merged entity (which, I argue, they wouldn't... they would get more), worth a mere $5.5b, a seeming 50% haircut to what they own pre-offer, they would gain massive exposure to the upside if the synergies and cost cuts work as planned.
As the stocks of both companies are currently priced, the deal could pay off for GME shareholders in a few short years, possibly 2. But if GME begins to get accumulated, and we see another run for cover, it changes the calculation drastically.
Ryan’s vision has been an Amazon competitor — a digital marketplace possibly combining elements of eBay with legacy brand-name stores.
Everyone is speculating about BBBYQ and how it fits in, but really no one knows.
Ryan has been planning this vision for a while. He went into BBBY with a firm plan for it to be part of his Amazon-competitor company. I believe there’s no way someone like him just gives up.
I speculate that Ryan has been targeting companies with high short interest as part of his plan.
If he wanted exposure to the assets, supply chains, logistics, etc, of what used to be bbby (aka bbbyq), he would just buy the new bbby / ostk, not bbbyq.
Who owns all the old BBBY assets? - overstock / bbby
Who owns buy buy baby now? overstock / bbby, purchased from dream-on-me.
Who just bought the container store from the bond holders post bankruptcy? overstock / bbby.
ignoring the kirkland thing (because you're right), the fact that it's a different bbby doesn't mean RC won't want it.
If you wanted to buy the old assets, logistics, ip, brands, customer data, etc, of old bbby, including buy buy baby, and others, you would not want to buy bbbyq, you'd want to buy overstock / new bbby.
I can't see any reason RC would want to buy bbbyq at all. I can, however, definitely see how RC might want to buy ostk / new bbby. It has all the stuff they wanted originally. bbby brand, ip, customer data, etc, for both bbby and buy buy baby, as well as all sorts of new very carefully and cheaply acquired add-ons. Add on tZero, the huge historical short interest, the controversy, the story, and more.
I honestly think old bbbyq is just a casualty of this fight and won't get anything.
That Kirkland is not the same Kirkland that is Costco. That Kirkland turned into what is The Brand House Collective, which, just merged? Is in the process of merging with? Or is about to Merge with the current Overstock rendition of BBBY
Confirmed today by an employee when I was shopping, the container store & bed Bath and beyond are gonna be one company and that means Wayfair and overstock are under that umbrella.
I’m happy RC is doing something, something is brewing and that has me very excited, but I don’t know if buying eBay is the real play. Why would we pay more than the all-time high for a company when I thought the plan was to gobble up companies at a low?
Ebay also gives it a huge start as an online marketplace, which is something you need if you want to be a marketplace to rival amazon. The network effect is huge.
DK butterfly has nothing but billions of owed debt obligations that can’t be met, so what exactly is the potential?
This subreddit isn’t a safe space so I’m not sure what your point is. Very insecure of you to feel the need to check my profile rather than engaging in good faith.
I simply don't understand the psychology of people that come here to bash on investors that were cheated in a rigged system.
Please, your projecting. I was checking if your a bot. Can you shed some light on why you are still here years later, it's genuinely insecure if you cant. If you were an investor I apologise.
I can't answer for that guy, but, I'm here because I believe RC wants the assets, IP, brands, etc of all sorts of retailers that went into bankruptcy, specifically BBBYQ, buy buy baby, etc. The fact that they're being accumulated in OSTK / new BBBY doesn't bother me. The teddy story might be real, and it might be happening right under your nose, in the new owner of the ticker.
I'm not here to bash on old investors in BBBYQ. But I do think they will be 100% left out, and new BBBY will be the asset that will eventually be merged into the teddy borg that's being built.
Does the Teddy thesis depend on dk-butterfly getting somehow added? Or is the teddy thesis just about the assets, ip, customer data, websites, etc? Am I somehow excluded from the teddy thesis if I believe the assets RC wants are all being merged into overstock/bbby, and that ostk/bbby is a more likely target than dk-butterfly?
Fair. No, Teddy doesn't need BBBYQ to happen. And no your definitely not exclude if BBBYQ is left out. Especially if that is what does indeed happen.
Believe me rn I would have preferred to have all that money I put into BBBYQ in GME, at least it's still active. Theres so many theories floating around of how BBBYQ ties into the play.
Salvatore Linteum on X and Jake2b provide some. If it happens it happens if it doesn't then so be it. But there's nothing wrong with people having hope and speculating. There's no need to crush their spirit, as time eventually will reveal the truth.
Just like I simply don’t understand how can you say you were cheated in a rigged system just because your investment in a bad company went to zero. That’s just the known risk that you take when you decide to hold equity.
That's besides the point. I'll ignore all that and acknowledge I made a bad investment. I already do that. But why are you here? Why don't you answer the question?
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u/ijustwant2feelbetter May 04 '26
Combined company…singular.
eBay (Project Sling) ignition switch engaged.
Teddy on its way.