The mobile classifieds start-ups will combine their U.S. operations under the letgo brand.
On May 12, letgo, the fastest-growing mobile marketplace for secondhand goods, announced a merger of U.S. operations with Willkie client Wallapop, another leader in the mobile classifieds sector. The combined entity will be majority-owned and managed by letgo and will operate under the letgo brand on the letgo platform. Existing shareholders will also be injecting $100 million of new funds to grow the business aggressively.
The agreement comes amid very strong early growth for both letgo and Wallapop, fueled by increasing consumer demand for a streamlined, modern and mobile-first alternative to older platforms like Craigslist. Both letgo and Wallapop are currently among the top shopping apps in the iOS and Android app stores.
The deal was led by partners Gordon Caplan and Mark Getachew and included partners Hillel Jacobson, Anthony Carbone and Eugene Chang; and associates Katherine Lynch, Thomas Sharkey and Meghan Hungate.