Buzzfeed is getting out of the hot wings game. The media company has sold First We Feast, the studio behind the viral YouTube series “Hot Ones,” to a group of investors that include the production company’s founder Chris Schonberger and the host of “Hot Ones” Sean Evans as well as Crooked Media, Mythical Entertainment and Soros Fund Management. Additional investors will be announced at a later date.
The all-cash deal saw the production company being sold for $82.5 million. Thanks to the proceeds of the transaction combined with a partial prepayment of Buzzfeed’s outstanding convertible notes, Buzzfeed is now operating with a cash balance that exceeds its debt.
“The sale of First We Feast and continued reduction of our convertible debt marks an important step in BuzzFeed, Inc.’s strategic transformation into a media company positioned to fully benefit from the ongoing AI revolution,” BuzzFeed founder and CEO Jonah Peretti said in a press release. “In the coming years, we will continue to invest in our most scalable and tech enabled services, launching new AI-powered interactive experiences, and delivering for our loyal audience and business partners.”
More to come …
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