eBay has announced the acquisition of Depop, a popular second-hand clothing app, from Etsy for $1.2 billion (£890 million). The deal is aimed at expanding eBay’s reach to a younger audience and is expected to be finalized in the second quarter of this year.

Founded in London in 2011, Depop will continue to operate under its current name, brand, and platform following the acquisition. The move comes after Etsy purchased Depop for $1.62 billion (£1.2 billion) five years ago.

Depop has gained traction due to the increasing demand from Gen Z and Millennial consumers for sustainable fashion options and pre-owned items. The platform boasts seven million active buyers, with nearly 90% of them being under the age of 34. Notably, Depop’s sales in the US have surged by almost 60% in the past year.

Jamie Ianonne, eBay’s CEO, expressed confidence in the acquisition, stating that Depop’s focus on pre-loved fashion aligns well with eBay’s vision for growth. He highlighted fashion as a key driver for eBay’s consumer-to-consumer (C2C) segment, contributing over $10 billion in annual gross merchandise volume (GMV) and showing a 10% year-over-year GMV increase in the US in 2025.

Kruti Patel Goyal, Etsy’s CEO, emphasized Etsy’s commitment to enhancing its marketplace for both buyers and sellers following the sale of Depop. She praised Depop for its unique brand, product, and community, positioning it as one of the fastest-growing fashion resale platforms in the US.

Peter Semple, Depop’s CEO, expressed excitement about joining forces with eBay, citing their shared values and focus on sustainability. He sees the acquisition as a significant opportunity to accelerate Depop’s growth in the US and beyond, acknowledging the platform’s evolution and strong presence in the global market.

The transaction marks a new chapter for Depop, as it aims to leverage eBay’s expertise in the C2C fashion sector to drive further expansion and promote a more sustainable future.