BuzzFeed has announced it is going public through a SPAC deal, merging with 890 5th Avenue Partners, Inc.
BuzzFeed was once primarily known as a source for pop culture content, listicles and the like. In recent years, however, the site has increasingly moved into serious journalism, even winning a Pulitzer Prize in 2021. As part of its ambition, the company acquired HuffPost from Verizon in November 2020.
The company has now confirmed plans to go public by merging with 890 5th Avenue Partners in a SPAC deal. Merging with a SPAC (special purpose acquisition company) is a popular alternative to an IPO, avoiding some of the normal regulatory scrutiny and providing more certainty regarding valuation.
“BuzzFeed is now the undeniable leader for the next generation of media. We’ve built a slate of essential brands, loved by the most diverse, engaged, and loyal audience on the Internet,” Jonah Peretti, BuzzFeed’s Founder and CEO said. “With today’s announcement, we’re taking the next step in BuzzFeed’s evolution, bringing capital and additional experience to our business. I am thrilled to have Adam [Adam Rothstein, Executive Chairman of 890,] join our team as we work towards becoming the world’s preeminent digital media company.”
The deal is expected to close in Q4 2021.