NBC Universal said it has made another $200 million investment in BuzzFeed, extending its advertising partnership with the news and entertainment network and agreeing to collaborate on short-form video.
NBC Universal first invested $200 million in BuzzFeed in August 2015. As part of the new deal, BuzzFeed will collaborate with NBCUniversal on production and social distribution for NBCUniversal’s Content Studio, which delivers platform-specific, short-form digital video content to advertisers. NBCUniversal will also represent BuzzFeed’s inventory to advertisers. Additionally, the companies will work together to create new digital consumer experiences for NBCUniversal premium content.
On the digital media side, BuzzFeed said it will focus on further developing data science and technology, growing its Tasty food media network, and creating cross-platform advertising products. Additionally, BuzzFeed News will expand on all digital platforms and continue to grow its digital video operations in Los Angeles, New York, and globally.
“Over the past year, BuzzFeed has proven to be a valuable partner across our business. From the Olympics to the record-breaking launch of Secret Life of Pets, BuzzFeed has helped us engage millennial audiences with our content and extend the reach of our clients’ campaigns to new platforms,” said NBCU Digital Enterprises president Maggie Suniewick in a statement. “We are looking forward to using the power of our brands to collaborate in more innovative ways that drive value for both companies.”
NBCUniversal and BuzzFeed have already partnered on successful initiatives including the 2016 Rio Olympics on Snapchat, co-selling advertising deals across linear and digital, and content partnerships like Tasty on NBC News’ TODAY.
“NBCUniversal has been a tremendous partner this past year and we can’t wait to do more with them. Our collaboration has allowed us to focus on our respective strengths, learn from each other, and serve our combined audience better with compelling news, entertainment, and advertising offerings that neither company could do on our own,” said BuzzFeed CEO and founder Jonah Peretti in a statement. “The investment allows us to remain a fully independent company but have access to and resources from the strongest and best media company there is.”
LionTree Advisors acted as financial advisor and Fenwick & West LLP acted as legal advisor to BuzzFeed on the transaction. Davis Polk & Wardwell LLP acted as legal advisor to NBCUniversal on the transaction.