On February 18, eBay announced a deal that would acquire mobile apparel resale platform Depop from Etsy for a cool $1.2 billion USD.
As Hypebeast reports, this big-ticket acquisition demonstrates the sheer value that the secondhand apparel market has accumulated, clocking in just short of the $1.3 billion USD price tag Prada Group paid to acquire luxury label Versace.T
Depop is the leading fashion marketplace among Gen-Z and Millennial shoppers. In 2025, Depop had 7 million active buyers, nearly 90% of which are under the age of 34. The addition of Depop will accelerate eBay’s C2C strategy by deepening its reach with younger consumers. UK-based Depop has experienced massive growth, with annual gross merchandise sales topping $1 billion in 2025 and 60% year-over-year growth in the U.S., now its leading market.
“With the excellent offer presented to us by eBay, and in light of the significant opportunity we see at Etsy, we made the decision to sell Depop and fully prioritize our core marketplace,” Lanny Baker, chief financial officer of Etsy, told Retail Dive. “We believe that obtaining a strong value for Depop now and focusing on Etsy, where we believe we can achieve a higher rate of return on invested capital, will best enable us to maximize shareholder value in the long term.”
As Forbes reports, in a statement, eBay CEO Jamie Ianonne said fashion is a key marketplace driver for eBay, representing more than $10 billion in annual gross merchandise volume and 10% growth in U.S. sales. “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,” said Ianonne.
For its part, Etsy CEO Kruti Patel Goyal has stated that the company would like to see younger consumers at the core of its marketplace. “We’ve seen our buyer demographics aging, with older users growing faster than younger ones,” Goyal told Retail Dive. “Our research shows that’s not an appeal problem, it’s a presence gap. Hence, our work to improve our app and shift our marketing mix to more intentionally engage and acquire younger shoppers.”
eBay plans to fund the transaction with cash, which Etsy will use for general corporate purposes, continued share repurchases and investment in its core marketplace, according to the release. The companies said both boards unanimously approved the transaction that is expected to close in the second quarter.
Depop will retain its name, brand, platform and culture, according to the companies. “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,” Peter Semple, chief executive officer of Depop, said in a statement.
—
Photo Credit: Bangla press / Shutterstock.com