BuzzFeed Sells First We Feast for $82.5 Million

BuzzFeed has sold its popular food and pop culture brand, First We Feast, to a consortium led by its founder Chris Schonberger and featuring notable investors including Sean Evans and Soros Fund Management for $82.5 million. This sale, part of BuzzFeed's broader strategy to address its financial struggles, allows the company to operate with a cash balance exceeding its remaining debts. Although BuzzFeed is still recovering from the $198 million acquisition of Complex Networks, the deal signals a recovery in the media M&A market as analysts view it as a positive sign. First We Feast, known for its viral series 'Hot Ones', will now operate independently and aims to expand into live events and new platforms. The divestiture raises questions about BuzzFeed's future as a public entity, with experts suggesting it may no longer be sustainable in the current market climate. Overall, the sale marks a significant shift in BuzzFeed's operations as it pivots towards high-margin revenue streams and focuses on tech-enabled services.