NBCUniversal is making its $200 million investment in BuzzFeed official.
The media conglomerate announced the deal Monday morning after it was first reported by Recode in October and after CB Insights last week published new documents that appeared to all but confirm the deal. Sources had previously indicated that the deal, which brings NBCU's total investment to $400 million, would value BuzzFeed at $1.7 billion, just slightly more than the $1.5 billion valuation it received when NBCU first invested in August 2015.
The deal includes an extended advertising sales relationship between NBCUniversal and BuzzFeed, the online publisher known for its lists and quizzes in addition to a growing video business. BuzzFeed will work with NBCU's Content Studio to create short-form digital video for advertisers. NBCU will also represent BuzzFeed's inventory to advertisers.
The companies also plan to work on new consumer experiences for NBCU's content.
"Over the past year, BuzzFeed has proven to be a valuable partner across our business," said Maggie Suniewick, president of NBCU Digital Enterprises. "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."
Added BuzzFeed CEO Jonah Peretti: "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."
NBCU has also invested $200 million in Vox Media, the owner of The Verge, Eater and SB Nation among other online brands.