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Vice receives $450m investment to build out video capabilities

Vice has received a $450m investment from private equity firm TPG

Vice has received a $450m investment from private equity firm TPG, a deal that boosts the media brand’s valuation to $5.7bn.

The funding will help the media company launch and finance Vice Studios, a division that will produce scripted multiscreen programming. The investment will also be used to build out over-the-top and direct-to-consumer video offerings.

“Media is probably at its most dynamic, most evolutionary time in its history. With Facebook and Google taking an ever-growing piece of the online advertising pie, looming ‘skinny bundles’ and over-the-top/direct-to-consumer offerings exploding the media status quo - networks have to be nimble, smart and fast moving,” said Shane Smith, founder and chief executive of Vice, in a statement. “This will allow us to: build up the largest millennial video library in the world - enabling Vice to widen our offering to include; news, food, music, fashion, art, travel, gaming, lifestyle, scripted and feature films.”

Brooklyn-based Vice, whose sites include Broadly, Noisey and Motherboard, has made a big push into video in recent years. Last year, Vice acquired global production studio Pulse Films to bolster its programming capabilities. In 2015, Vice partnered with A+E Networks to launch Viceland, a 24-hour cable channel.

Earlier this year, Vice signed a deal with Snapchat to produce original series exclusively for the popular platform.

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Minda Smiley

Minda Smiley is a reporter at The Drum covering creativity and advertising. Based in Philadelphia, she oversees creativity coverage in North & South America and runs The Drum’s weekly “US Creative Works” roundup. During her time at The Drum, she has covered industry events including SXSW, ANA Masters of Marketing, 4A’s Transformation and C2 Montréal and has interviewed dozens of creatives for The Drum’s “What does it take to be a great creative?” video series.

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