Media company would join with 890 5th Avenue Partners, according to Bloomberg
Michael Kovac / Getty Images
BuzzFeed is looking to public by linking up with a SPAC, or special purchase acquisition company, according to a report in Bloomberg.
The media company, which recently acquired HuffPost, is in talks to merge with 890 5th Avenue Partners, Bloomberg reported on Wednesday. Reps for BuzzFeed and 890 5th Avenue did not immediately respond to TheWrap’s request for comment.
890 5th Avenue is named after the fictional Avengers mansion and is led by Executive Chairman Adam Rothstein and CEO Emiliano Calemzuk. Thefirm raised $287.5 million in a January initial public offering and has said it’s focused on technology, media and telecommunications.
SPACs, also known as “blank check companies” are created to raise money through an initial public offering with the intent of acquiring another company, and are flooding into a market where money is cheap and investors are eager to find new ways to profit.
The news comes one day after BuzzFeed slashed 47 positions at HuffPost in one of the company’s first actions since acquiring the rival news site three weeks ago in a deal with Verizon Media. BuzzFeed CEO Jonah Peretti told HuffPost on Tuesday that the cuts were part of an effort to “fast-track the path to profitability” for the newly acquired property. A representative for BuzzFeed did not immediately return a request for further comment.
Source: Read Full Article