BuzzFeed Inc. has agreed to acquire Verizon Media’s HuffPost in a stock deal, the companies said Thursday, uniting two of the larger players in digital media as companies across the sector search for ways to jump-start growth.
The acquisition is part of a larger deal between BuzzFeed and Verizon Media, a unit of Verizon Communications Inc. Under the pact, the companies will syndicate content on each other’s platforms and look to jointly explore advertising opportunities. Verizon Media will get a minority stake in BuzzFeed as a result of the tie-up, the companies said.
Verizon Media is also making an undisclosed cash investment in BuzzFeed in addition to the stock deal for HuffPost, according to a person familiar with the matter.
Jonah Peretti, BuzzFeed’s founder and chief executive, will run the combined company. BuzzFeed will lead the search for a new editor in chief of HuffPost.
In a joint statement, the companies said BuzzFeed and HuffPost have complementary audiences and will benefit from greater scale. Financial terms for the deal weren’t disclosed, including the valuation for HuffPost.