Etsy accelerates expansion with acquisition of Brazilian online marketplace Elo7

Etsy has signed an agreement to acquire Elo7, one of Brazil’s top e-commerce sites, for $217 million in cash . The private online marketplace specializes in custom handmade products.

Relevant data shows that Elo7 is one of the top 10 e-commerce websites in Brazil , currently with approximately 1.9 million active buyers and 56,000 active sellers. Its online website has approximately 8 million items for sale, most of which are customized .

In fact, Etsy has been accelerating its acquisition journey. Back in early June , Etsy agreed to acquire Depop, a British fashion resale marketplace popular with young consumers around the world, for $1.6 billion (mostly in cash).

Following the closing of the acquisition , Elo7 will continue to be headquartered in São Paulo and will operate as an independent market led by its existing leadership team.

Etsy CEO Josh Silverman said Elo7 is the 'Etsy of Brazil' and its website's work objectives and business model are similar to ours. After the acquisition of Depop , we are excited to bring another unique marketplace into the "Etsy family.

This transaction will serve as Etsy's foothold in Latin America, which shows Etsy's determination to build a Latin American e-commerce zone. For Etsy , Latin America has a very low penetration rate and is a market to be developed. Etsy has no customer base here, and this acquisition will open up the online market in Latin America.

It is reported that Elo7's online marketplace has products from more than 40 retail categories, of which more than 50% of the total sales volume comes from the "Special Events and Life Moments" category, such as weddings, babies, home decor and children's parties.

Carlos Curioni, CEO of Elo7, said that Etsy has always been a source of inspiration and reference for its products , and he is very happy to continue to develop its e-commerce journey with Etsy . Moreover, Etsy's mission and culture are very consistent with Elo7. He is looking forward to using Etsy's product and marketing expertise to help the Elo7 market, community and team fully realize their potential in Brazil.

Etsy

Brazil

E-commerce