Entertainment mogul Byron Allen to acquire Buzzfeed, HuffPost
Los Angeles Times • • business
Key Points:
- BuzzFeed Inc. is selling its 52% majority stake to Byron Allen's Allen Family Digital for $120 million, with $20 million paid upfront and the remainder due in five years; the deal includes ownership of HuffPost and is expected to close later this month.
- Byron Allen will become BuzzFeed's chairman and CEO, while founder Jonah Peretti will shift to president of BuzzFeed AI, with plans for further cost cuts and the spin-off of BuzzFeed Studios and Tasty into an independent entity.
- BuzzFeed has faced financial challenges, reporting a $15 million net loss in Q1 with declining ad revenue, despite a 50% increase in content revenue; the company acquired HuffPost in 2021 and shut down BuzzFeed News three years ago.
- Byron Allen, a former comedian and media mogul, is concurrently taking over CBS' late-night programming and recently sold several TV stations for $170 million, maintaining ownership of multiple network affiliates and digital outlets like Pets.TV and Comedy.TV.