eBay completes $1.2 billion acquisition of Depop from Etsy

eBay ↘ 2.30% announced on Wednesday that it has completed its acquisition of Depop, the U.K.-based consumer-to-consumer fashion marketplace, from Etsy ↘ 1.73% for approximately $1.2 billion in cash. The deal, first announced in February 2026, closed after receiving clearance from Britain's Competition and Markets Authority in mid-July.prnewswire+2

A Bet on Younger Shoppers and Circular Fashion

The acquisition gives eBay access to a mobile-first resale platform with approximately 7 million active buyers, nearly 90% of whom are under the age of 34, and more than 3 million active sellers. Depop generated annual gross merchandise sales of approximately $1 billion in 2025, including nearly 60% year-over-year growth in the United States.chainstoreage+2

eBay CEO Jamie Iannone said the acquisition combines "two distinct customer experiences" and expands the company's "reach with the next generation of buyers and sellers". The transaction builds on eBay's fashion category, which already generates more than $10 billion in annual gross merchandise volume.investing+1

Depop will continue to operate as a separate business under eBay, maintaining its brand, platform, and culture. eBay plans to integrate its capabilities in shipping, personalization, and compliance with Depop's operations, and expand the visibility of Depop's inventory through cross-listing opportunities.ecommercebytes+2

Etsy Takes a Loss on the Sale

Etsy originally acquired Depop for $1.625 billion in 2021, meaning it sold the platform at a loss of more than $400 million. Etsy CEO Kruti Patel Goyal said the sale allows the company to "concentrate solely on the exciting opportunities we see ahead: enhancing the Etsy marketplace". Etsy had already divested its music-gear marketplace Reverb in 2025 as part of a broader refocusing strategy.ecommercebytes+2

The deal closed after a delay; originally expected in the second quarter of 2026, it was pushed back while awaiting regulatory approvals in the U.K. and Australia. Reuters reported that the U.K.'s Competition and Markets Authority cleared the transaction on July 15, paving the way for the July 30 closing.reddit+3

Resale Market Momentum

The acquisition arrives as the secondhand fashion market gains structural importance in global e-commerce. A report published this week by NIQ NielsenIQ ↘ 0.55% found that resale has become "a structural growth driver within fashion e-commerce" in Europe, with younger shoppers increasingly considering both new and used items when making purchasing decisions. The deal positions eBay to compete more directly with platforms like Vinted in the growing circular fashion space.ppc