Engadges is a platform that allows users to sell and buy things on Facebook.
The company is part of Facebook’s new social platform.
Facebook said in a press release on Monday that it would buy the social trading startup for $1 billion.
The news comes on the heels of a $5 billion deal Facebook struck with Yahoo last week to acquire its media network, Buzzfeed.
Engadggets will continue to operate as a free, ad-supported app.
Facebook has previously said that it plans to acquire at least two other startups as part of the deal.
Engads founders will remain on the company’s board, but Facebook said that the acquisition of Engads would allow the company to further develop its “social trading” product.
Engades’ CEO said in an interview with Business Insider that he would remain on as a board member.
The social trading company will continue its work with Facebook.
Engagers founder and CEO Michael C. Stegmann told the press that the company would continue to develop its technology and business model to “expand and evolve” into the future.
The deal is part a larger consolidation of social trading into a more diverse group of businesses.
Facebook and Engadlets acquisition marks another milestone for the social network.
The $3.2 billion acquisition of Facebook is the second-largest acquisition for a tech company this year.
Facebook bought Instagram for $2.8 billion in January.
Engadic, which was co-founded by Stegman, has been acquired by Snapchat in a deal worth $600 million.