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Bye Buzzfeed – investors push for entire news shutdown

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BuzzFeed investors have pushed the CEO to shut down the entire newsroom

Several large shareholders have urged BuzzFeed CEO Jonah Peretti to shut down the entire news operation

BuzzFeed News has about 100 employees and loses roughly $10 million a year, according to people familiar with the matter.

“Though BuzzFeed is a profitable company, we don’t have the resources to support another two years of losses”

CEO Jonah Peretti says

One shareholder told CNBC shutting down the newsroom could add up to $300 million of market capitalization to the struggling stock.

The digital media company went public in December.

Shares immediately fell nearly 40 per cent in its first week of trading and haven’t recovered.

The company has offered voluntary buyouts to fewer than 30 employees, according to a person familiar with the matter, as cited in CNBC.

The buyout is only available to reporters and editors who cover investigations, inequality, politics or science and have worked for the company for more than a year.

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