Depop, which is owned by Etsy, has 7 million active buyers on its marketplace, nearly 90% of whom are under the age of 34

The online seller eBay has agreed to purchase the secondhand fashion marketplace Depop from Etsy for about $1.2bn in cash, the companies announced on Wednesday, with eBay hoping the acquisition will help it capture a younger demographic.

Used clothing has become increasingly popular, with Gen Z shoppers searching for unique items that cost less than new ones, and who want to keep older items from heading to landfill.