BuzzFeed – Most cash & cash equivalents held at SVB
BuzzFeed Inc announced on Monday that the majority of its cash and cash equivalents were held at Silicon Valley Bank, which was closed last week.
The digital media company stated that it had approximately $56 million in cash and cash equivalents at the end of 2022.
SVB Financial Group, a startup-focused lender, became the largest bank to fail since the 2008 financial crisis last week, sending shockwaves through the global financial system and prompting regulators to step in to contain the fallout.
BuzzFeed shares were down 8.6% at $1.17 in extended trading on Monday.
The company, which has been dealing with a difficult advertising market amid concerns about a slowing economy, also reported a 27% drop in ad revenue to $50.5 million in the fiscal quarter ended Dec. 31.
It anticipates first-quarter overall revenue of $61 million to $67 million. BuzzFeed reported $91.6 million in revenue for the same period last year.