(Reuters) -BuzzFeed said on Wednesday it has sold publisher Complex to live-video shopping app NTWRK in a $108.6 million all-cash deal, as the digital media outlet looks to enhance its profitability.
The digital media company also said it would reduce expenses by implementing a 16% reduction in the remaining workforce.
Last week, Reuters reported that the British media group Independent is in talks to take control of BuzzFeed and Huffington Post's operations in the UK and Ireland in a multi-year deal.
NTWRK said the new venture will be led by Aaron Levant, who co-founded the live-video shopping app in 2018 and has served as its CEO since its inception.
"We will create the definitive global content, commerce, and experiential platform of convergence culture," Levant said in a statement.
Investors of the new venture include Main Street Advisors, music industry veteran Jimmy Iovine, music label Universal Music Group (AS:UMG), and Goldman Sachs (NYSE:GS), NTWRK added.
NTWRK said Interscope Geffen A&M (IGA) and Capitol Music Group will be the first Universal Music Group labels to collaborate with the new company to deliver exclusive collaborations.
The new venture would continue to serve all major and independent artists and labels, NTWRK said.