Etsy entered into a letter agreement with eBay regarding the previously announced $1.2 billion sale of Depop. The agreement introduces a 'Business Disruption Fee' payable by eBay to Etsy if the transaction is terminated under specific conditions. The fee scales based on the date of termination, ranging from $0 (on or before June 15, 2026) to $136 million (after July 31, 2026). The transaction closing date has been pushed from the second quarter of 2026 to the third quarter of 2026 due to ongoing regulatory review. The agreement allows Etsy and Depop to continue making investments in the business to maintain competitiveness during the extended pre-closing period.