BuzzFeed (NASDAQ: BZFD) stock surged on Thursday following reports indicating discussions between The Independent and BuzzFeed regarding the potential acquisition of BuzzFeed and Huffington Post’s operations in the UK and Ireland.
The Independent, a prominent British media group, is reportedly to take charge of BuzzFeed and Huffington Post’s operations in the UK and Ireland. This exclusive information was disclosed by the Financial Times on Thursday.
The Independent will acquire complete editorial and commercial authority over the US digital media giant BuzzFeed in the UK, per the proposed agreement. This arrangement encompasses a licensing deal covering renowned brands like HuffPost UK, Seasoned, and Tasty. Sources familiar with the ongoing discussions revealed these details to the Financial Times.
The exact financial terms of the deal remain undisclosed at the moment, according to the FT report.
This development arises amidst a challenging period for major media establishments in both the UK and the US. Notable entities such as the Los Angeles Times, Forbes, and Business Insider have recently implemented workforce reductions to manage escalating expenses.
BuzzFeed took significant cost-cutting measures last year, including the closure of its news division and a 15% reduction in its workforce. Founded in 2006 by Jonah Peretti and John Johnson, BuzzFeed went public in 2021 through a blank-check merger.
BuzzFeed (NASDAQ: BZFD) Stock Price Action
BZFD stock soared 37.73% to close at $0.24 on Thursday. The traders had exchanged hands with 76,856,565 (76.85 million) shares compared to the average daily trading volume of 850.40K.
Edward Cooke is a financial analyst, freelance writer, and editor. He has six years of experience in financial journalism. He has an in-depth understanding of equities markets, tracking major indices and providing real-time analysis on stock price movements, corporate earnings, and market sentiment.
