Ebay buys Depop for $1.2bn in bid to capture younger shoppers

Published: Thursday, February 19, 2026 at 2:43 am

eBay Acquires Depop for $1.2 Billion to Target Younger Consumers

eBay has announced its acquisition of the secondhand fashion marketplace Depop from Etsy for approximately $1.2 billion in cash. The deal, which has been approved by both companies' boards, is expected to close in the second quarter. This move is a strategic effort by eBay to attract a younger customer base, capitalizing on the growing popularity of secondhand clothing among Gen Z shoppers.

Depop, founded in 2011, will retain its brand, platform, and culture under eBay's ownership. The platform boasts a significant user base, with nearly 7 million active buyers as of December 31, 2025, almost 90% of whom were under 34 years old. Depop also has over 3 million active sellers.

Etsy initially acquired Depop in 2021 for $1.6 billion as part of a strategy to expand its portfolio of online marketplaces. However, Etsy has since shifted its focus, selling off marketplaces to concentrate on its core platform. Etsy plans to use the proceeds from the sale for general corporate purposes.

eBay's CEO, Jamie Ianonne, expressed confidence that Depop will thrive under eBay's umbrella, benefiting from eBay's scale and operational capabilities. The announcement of the acquisition led to positive market reactions, with eBay's shares rising over 7% and Etsy's shares soaring nearly 15% in after-hours trading.

BNN's Perspective: This acquisition signals a smart move by eBay to adapt to evolving consumer preferences. The secondhand market is booming, and Depop's strong presence among younger demographics provides eBay with a valuable entry point. While the price is significant, the potential for long-term growth and market share gains makes this a worthwhile investment. It also highlights the dynamic nature of the e-commerce landscape, with companies constantly adjusting their strategies to stay competitive.

Keywords: eBay, Depop, acquisition, secondhand fashion, Gen Z, Etsy, online marketplace, e-commerce, buyers, sellers, shares, market, consumers, growth, platform

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