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BuzzFeed, long known as a viral content and clickbait powerhouse, is attempting a dramatic rebrand to reposition itself as a tech company. This shift comes amidst declining profits, layoffs, and dwindling relevancy. The company's latest maneuver is an attempt to go public via a Special Purpose Acquisition Company (SPAC), a popular route among tech startups seeking venture capital.
NBCUniversal, which invested approximately $400 million in BuzzFeed during 2015-2016, now anticipates losing around $75 to $100 million on its investment if the SPAC deal proceeds. The company's valuation has dipped below previous highs, estimated at around $1.5 billion—much lower than earlier optimistic projections.