eBay and Etsy announced they have entered into a definitive agreement under which eBay will acquire Depop, a consumer-to-consumer fashion marketplace focused on secondhand apparel, for approximately $1.2 billion in cash, subject to certain purchase price adjustments.
The transaction is designed to strengthen eBay’s consumer-to-consumer value proposition by adding a leading fashion resale platform with a deeply engaged Gen Z and Millennial customer base. For Etsy, the sale enables the company to focus exclusively on driving sustainable growth across its core marketplace.
Depop operates as a mobile-first, community-powered fashion marketplace with annual gross merchandise sales of approximately $1 billion in 2025, including nearly 60% year-over-year growth in the U.S.
As of December 31, 2025, the platform had 7 million active buyers, nearly 90% of whom were under 34, along with more than 3 million active sellers. The marketplace enables users to buy, sell, explore, and discover secondhand fashion items.
For eBay, fashion is already a significant category, representing more than $10 billion in annual gross merchandise volume and delivering 10% year-over-year GMV growth in the U.S. in 2025. The company said the acquisition presents an opportunity to advance one of its fastest-growing focus categories while expanding its reach among younger consumers in the growing recommerce market.
As part of eBay, Depop is expected to benefit from eBay’s global scale and operational capabilities, including financial services, shipping solutions, and programs such as Authenticity Guarantee. eBay also plans to expand Depop’s inventory visibility, including through cross-listing opportunities intended to drive global demand and unlock additional market opportunities.
Etsy said the transaction represents a positive outcome for shareholders and will allow the company to concentrate on expanding its primary marketplace, Etsy.com. The company intends to use proceeds from the sale for general corporate purposes, continued share repurchases, and investment in its core operations.
Depop is expected to retain its name, brand, platform, and complementary culture following the close of the transaction.
The deal has been unanimously approved by the boards of directors of both companies and is expected to close in the second quarter of 2026, subject to customary closing conditions and regulatory approvals. eBay intends to fund the acquisition with cash on hand.
KEY QUOTES:
“Depop has built a trusted, social-forward marketplace with strong momentum in the pre-loved fashion category, and 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. A key C2C driver, fashion represents more than $10 billion in annual gross merchandise volume (GMV) for eBay and delivered 10% year-over-year GMV growth in the U.S. in 2025. This acquisition presents an opportunity to advance one of our newest and fastest-growing Focus Categories with a marketplace that complements our existing presence, and enables us to reach a younger demographic across the expanding recommerce landscape. We’re excited to welcome the Depop team to eBay, and look forward to building on what makes them unique – their brand, culture and community – to deliver compelling benefits to buyers and sellers.”
Jamie Iannone, Chief Executive Officer, eBay
“We are excited that this transaction allows us to focus exclusively on the compelling opportunity we see in front of us: to grow the Etsy marketplace in ways that matter most to our buyers and sellers. We believe this transaction is a great outcome for Etsy’s shareholders, and a positive next step for all involved. We are proud of what the Depop team has built – a truly differentiated brand and product, grounded in clear purpose and strong community – becoming one of the fastest-growing fashion resale marketplaces in the U.S. I am confident that Depop is well-positioned for its next phase of growth as part of eBay.”
Kruti Patel Goyal, Chief Executive Officer, Etsy
“We’re thrilled to begin this next chapter with eBay, whose experience in the C2C fashion space and shared belief in people, opportunity, and a more sustainable future positions us to meaningfully accelerate our marketplace in the U.S. and beyond. This transaction is a testament to the significant growth we have delivered as we have evolved our product experience and strengthened our brand’s place in the world. We’re very grateful to Kruti and the Etsy team for their partnership in advancing Depop’s business and mission to make fashion circular.”
Peter Semple, Chief Executive Officer, Depop
