eBay to Acquire Depop for $1.2 Billion, Targeting Gen Z Fashion Market

eBay Inc. Has entered into a definitive agreement to acquire Depop, a mobile-first, community-powered fashion marketplace, from Etsy, Inc. For approximately $1.2 billion in cash, subject to certain purchase price adjustments. The acquisition, announced on February 18, 2026, aims to strengthen eBay’s position in the consumer-to-consumer (C2C) resale market and attract a younger demographic, particularly Gen Z and Millennials.

Strategic Rationale for the Acquisition

Depop’s strong momentum and highly-engaged user base, particularly among younger consumers, make it a compelling addition to eBay’s portfolio. In 2025, Depop achieved approximately $1 billion in gross merchandise sales (GMS), representing nearly 60% year-over-year growth in the U.S. As of December 31, 2025, the platform boasted 7 million active buyers, with nearly 90% under the age of 34, and over 3 million active sellers. This acquisition allows eBay to tap into Depop’s established community and social-forward approach to fashion resale.

“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,” said Jamie Iannone, Chief Executive Officer of eBay .

Etsy’s Focus on Core Marketplace

The sale of Depop will allow Etsy to focus exclusively on driving sustainable growth for its core marketplace, which centers around unique and creative goods. Etsy acquired Depop in 2021, but the strategic shift reflects a prioritization of its primary business model.

Financial Details and Outlook

The $1.2 billion acquisition price is subject to customary purchase price adjustments. Fashion currently represents over $10 billion in annual gross merchandise volume (GMV) for eBay and delivered 10% year-over-year GMV growth in the U.S. In 2025. EBay anticipates that integrating Depop will further accelerate growth in this key category.

Depop’s Brand Identity to be Maintained

Following the acquisition, Depop will retain its name and branding, operating as a distinct marketplace within the eBay ecosystem. This approach aims to preserve the unique identity and community that have contributed to Depop’s success.