South Korean tech conglomerate Naver makes a significant investment, acquiring Wallapop for approximately 600 million euros.
Naver, a leading South Korean internet company, has announced its decision to fully acquire Wallapop, a popular second-hand goods trading platform based in Spain, for approximately €600 million. This acquisition marks a significant move for Naver in the second-hand goods trading market and aligns with its broader global expansion strategy.
Wallapop, founded in 2013, is Spain's largest consumer-to-consumer (C2C) second-hand marketplace. It boasts over 19 million monthly active users and is expanding its operations in Italy and Portugal. Naver's acquisition of the remaining 70.5% of Wallapop's shares, which it previously held a 29.5% stake through its C-Fund investment, will give it 100% control of the company. The transaction amounts to about €377 million (604.5 billion South Korean won).
Rob Cassedy, CEO of Wallapop, will continue to lead the company following the acquisition. The sale is expected to be completed in the coming months, subject to obtaining regulatory approvals.
Naver views Wallapop as a "strategic platform" to fuel its European business expansion. The company plans to leverage Wallapop's established market position and user base in second-hand goods and social commerce. This move follows Naver's previous investments in international social commerce platforms, including U.S.-based Poshmark and Japan's Soda, indicating a clear multinational growth and diversification strategy.
Wallapop will maintain its widely recognized brand and workforce. It will also benefit from Naver's experience as an investor in other international peer-to-peer trading platforms. Naver plans to use its experience and technology in key areas such as searches, advertising, and payments to benefit Wallapop.
The complete acquisition of Wallapop is valued at €563 million, including the capital already held by Wallapop. The acquisition deal has the support of the majority of Wallapop's shareholders. Wallapop will continue to operate from its headquarters in Barcelona.
This acquisition is part of Naver's aim to accelerate the growth and innovation trajectory of Wallapop in Southern Europe. It is also a strategic step towards securing a dominant position in European social commerce and second-hand markets as part of its global expansion and diversification plan.
Wallapop's user base, which numbers over 19 million monthly active users, will be utilized by Naver to drive its growth in social commerce. The acquisition of Wallapop is aligned with Naver's broader strategy of leveraging technology to expand and diversify its business globally.
