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The
deal comes at a time when used clothing has become increasingly
popular, sought out by shoppers searching for unique items that
cost less than new ones and keep the old stuff from heading to
the landfill.
In a statement, eBay's CEO Jamie Ianonne said that the
acquisition is an opportunity to capture a younger demographic.
"We are confident that as part of eBay, Depop will be even more
well-positioned for long-term growth, benefiting from our scale,
complementary offerings, and operational capabilities,” Ianonne
said.
As of Dec. 31, 2025, Depop's marketplace had 7 million active
buyers, nearly 90% of which are under the age of 34, and more
than 3 million active sellers, the joint release said.
The deal comes five years after Etsy bought Depop for $1.6
billion. The app was founded in 2011.
EBay, based in San Jose, California, said it intends to pay
cash. Etsy, based in Brooklyn, New York, plans to utilize the
proceeds for general corporate purposes, continued share
repurchases and investment in its core marketplace, according to
the release.
The transaction, which has been unanimously approved by eBay’s
and Etsy’s boards, is currently expected to close in the second
quarter, the companies said.
Depop is expected to retain its name, brand, platform, and its
culture, the companies said.
EBay's shares rose more than 7%, while Etsy's share soared close
to 15% in after-hours trading when the news was announced.
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