ETSY INC

Etsy Inc. announced a Second Amendment to its Sale and Purchase Agreement with eBay Inc. for the acquisition of Depop Limited, a wholly-owned subsidiary of Etsy. The Competition and Markets Authority of the United Kingdom (CMA) cleared the transaction on July 15, 2026, and the parties now expect the closing to occur on July 30, 2026. The amendment also adjusted termination fees and set a Lockbox Date of July 17, 2026, for purchase price adjustments, with eBay paying interest from this date.

Etsy, Inc. held its 2026 Annual Meeting of Stockholders where several proposals were voted upon. Key outcomes include the election of Class II directors, advisory approval of executive compensation, and ratification of PricewaterhouseCoopers LLP as the independent auditor. Additionally, an amendment to the 2024 Equity Incentive Plan was approved, while a proposal for majority voting governance was rejected.

Etsy Inc. and eBay Inc. entered a Letter Agreement on May 21, 2026, modifying the previously announced sale of Etsy's subsidiary, Depop Limited. The transaction's expected closing has been delayed from Q2 2026 to the end of Q3 2026. The new agreement introduces a "Business Disruption Fee" of up to $136 million, payable by eBay to Etsy if the sale is terminated under specific conditions, allowing Etsy to continue investing in Depop during the extended pre-closing period.

Etsy, Inc. announced the sale of its Depop fashion resale marketplace to eBay Inc. for $1.2 billion in cash, expected to close by Q3 2026, as it focuses on its core Etsy marketplace. For Q1 2026, revenue from continuing operations increased 3.1% to $631.3 million, and net income from continuing operations was $104.7 million, a significant improvement from a loss in the prior year. The company reported a total net income of $69.7 million, despite a $35.0 million loss from discontinued Depop operations.

ETSY reported strong first-quarter 2026 results for its core marketplace, with GMS up 5.5% and revenue up 7.6% year-over-year. The company is executing on growth priorities, seeing early improvements in customer behavior, including sequential growth in active buyers for the first time in two years. ETSY also reaffirmed its capital allocation strategy and provided an improved full-year GMS outlook, alongside details on the pending sale of Depop to eBay for $1.2 billion.