Byron Allen Acquires Controlling Stake in BuzzFeed for $120 Million

Media entrepreneur Byron Allen has entered into a deal to buy a stake of about 52% in BuzzFeed for $120 million, a transaction that will install him as the digital media company's next chief executive. Allen Family Digital will acquire 40 million BuzzFeed shares at $3 apiece. 9% premium to Friday’s closing price.

BuzzFeed’s market capitalization stood at roughly $31 million according to LSEG data. The deal is expected to close by the end of May 2026. It will be funded with $20 million in cash and a $100 million promissory note due five years after closing that carries a 5% annual interest rate.

Jonah Peretti, who co-founded BuzzFeed 20 years ago, will step down as CEO. He will serve as president of BuzzFeed AI. Byron Allen will take over as BuzzFeed CEO. 5 billion.

7 billion. Its shares have fallen more than 98% since going public in 2021. Shares soared about 156% in extended trading after the announcement. 71 per share.

The transaction marks a steep discount from the company’s earlier valuations. BuzzFeed owns the progressive news outlet HuffPost. Byron Allen controls Allen Media Group, which owns networks including The Weather Channel.

6 million. 5 million a year earlier. In the first quarter of 2026, BuzzFeed suffered a net loss of $15 million.

The company withheld its annual forecast. BuzzFeed expects to provide an update on its financial outlook in the coming months. Byron Allen’s show Comics Unleashed will replace the Late Show with Stephen Colbert on CBS’s schedule starting later this month.

Peretti welcomed the incoming leadership in a statement. “Byron’s vision, operational experience and long-term commitment to premium content makes him exceptionally well-positioned to lead BuzzFeed and HuffPost into our next phase of growth,” he said. ” The founder told employees in an internal memo that the company will undergo significant cost cuts ahead of Allen’s arrival.