Allen & Overy advises Etsy in USD1.625 billion acquisition of Depop
03 June 2021
Allen & Overy has advised Etsy Inc. (Etsy), a two-sided online marketplace which connects millions of passionate and creative buyers and sellers around the world, in its acquisition of Depop, a privately held community-powered fashion marketplace with approximately 30 million users in more than 150 countries, for USD1.625 billion.
The transaction will consist primarily of cash, subject to certain adjustments for Depop's working capital, transaction expenses, cash and indebtedness, and certain deferred and unvested equity for Depop management and employees.
The deal will build on Etsy’s expansion in the fast-growing apparel re-sale space. As an early-stage business, Depop will be able to leverage Etsy’s proven value creation roadmap, driving further growth and profitability. Following the closing of the transaction, currently anticipated during the third quarter of 2021, Depop will continue to be headquartered in London, and operate as a standalone marketplace run by its existing leadership team.
The A&O team was led by corporate partner Will Samengo-Turner in London.
Commenting on the transaction, Will Samengo-Turner said: “This acquisition played into our expertise in supporting U.S. technology companies in market-changing deals, allowing us to draw on our deep knowledge of this vibrant and dynamic sector. It was enormously exciting to support Etsy on this landmark transaction and to see two much loved ecommerce brands brought together.”
Further details of the transaction can be found in the Etsy press release here.
This acquisition played into our expertise in supporting U.S. technology companies in market-changing deals, allowing us to draw on our deep knowledge of this vibrant and dynamic sector.
Will Samengo-Turner, corporate partner