UK-based Depop, a fashion marketplace, is acquired by e-commerce giant Etsy, for around €1.33 billion
Summary
Depop, founded in 2011 by serial entrepreneur Simon Beckerman and led by CEO Maria Raga, is one of the world’s most successful community-powered marketplace apps, where users buy and sell unique fashion. Following the closing of the transaction, Depop will continue to be headquartered in London, England and operate as a standalone marketplace run by its existing leadership team. In addition, Etsy, Inc. owns Reverb, a leading global online marketplace dedicated to buying and selling new, used, and vintage musical instruments. Depop’s world-class management team and employees have done a fantastic job nurturing this community and driving organic, authentic growth in a way that aligns well with Etsy’s DNA and mission of Keeping Commerce Human. We see significant opportunities for shared expertise and growth synergies across what will now be a tremendous ‘house of brands’ portfolio of individually distinct, and very special, ecommerce brands.” As a portfolio company of TempoCap, Depop’s acquisition represents an extraordinary achievement for the VC firm too, highlighting several significant milestones for the firm, with an expected cash-on-cash multiple at closing of more than 11x in three and a half years and an expected IRR of approximately 125%.