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BuzzFeed is struggling to find a buyer for First We Feast, the media company behind the popular YouTube show Hot Ones, according to a new report.
Bloomberg reported Monday that BuzzFeed has been in talks for months to sell First We Feast. Several parties are interested in the food-oriented media company, but none have been willing to accept BuzzFeed’s $70 million price tag, sources familiar with the matter told Bloomberg.
Hot Ones, one of the most successful shows on YouTube, features celebrities eating spicy chicken wings as they are interviewed by the show’s host Sean Evans. The show averages about 3 million views per video. Some of the most popular episodes, with celebrities like Gordon Ramsey and Billie Eilish, have reached up to 120 million views.
Unnamed sources told Bloomberg that First We Feast is profitable and generates about $30 million in revenue a year, primarily from brand and licensing deals connected to Hot Ones.
BuzzFeed is attempting to sell First We Feast in an effort to lower its over $100 million of debt.
The digital media giant acquired First We Feast in 2021 when it bought Complex Networks in a $300 million deal. BuzzFeed sold the website Complex earlier this year for $109 million.
The news comes as BuzzFeed, which was once valued at $1 billion, struggles financially. The company’s stock is down about 94% since it went public in 2021.
BuzzFeed’s stock surged last month when former GOP presidential nominee Vivek Ramaswamy bought an activist stake in the media company. Ramaswamy has suggested BuzzFeed hire controversial media commentators like Tucker Carlson, Candace Owens, and Bill Maher.
Today, a U.S. Securities and Exchange Commission filing revealed that Ramaswamy has increased his stake in the company to 8.9%.
BuzzFeed shares rose 20% Monday to $2.60. It currently has a market cap of $95 million.