SoftBank, Hearst and NBCUniversal-backed digital media company will get a Nasdaq listing through the deal, valuing it just below its last funding round five years ago.
Buzzfeed, the US-based digital media company backed by broadcaster NBCUniversal, media group Hearst and telecommunications and internet group SoftBank, has agreed a reverse takeover at an implied valuation of about $1.5bn.
The company is joining forces with special purpose acquisition company 890 5th Avenue Partners, which floated on the Nasdaq Capital Market in a $250m initial public offering in January this year.
Alternative investment manager Redwood Capital Management is leading a $150m convertible note financing supporting the transaction, participating alongside CrossingBridge Advisors, Cohanzick Management and Silver Rock Financial.
Founded in 2006, Buzzfeed runs an online media platform which offers short-form content such as listicles and quizzes in addition to longer original pieces. It also owns social food network Tasty and the political and opinion-piece focused HuffPost, and claims it became profitable in 2020.
The deal was announced in tandem with Buzzfeed’s acquisition of Complex Networks, the operator of a…
