The company that owns the websites Vice and Motherboard filed for bankruptcy in America and will be sold to its lenders.

Vice Media Group, which was valued at $5.7bn ($4.5bn), could be acquired for $225m.

The digital publisher, which focuses on youth, said that it would continue to operate throughout the bankruptcy process.

It said that "it expects to emerge in two to three month as a stronger and financially healthier company".

Vice, originally launched in 1994 by Shane Smith and Gavin McInnes as Voice of Montreal, is now available in over 30 countries.

The content is edgy and geared towards youth. It spans print, music, events, online, TV, feature films, and television.

Vice Media Group's investors include Fortress Investment Group, Monroe Capital and Soros Fund Management - the firm founded by fund manager and billionaire George Soros.

The hope was that Vice would reap the financial rewards from attracting millions of younger readers through social media networks such as Facebook and Instagram.

However, ultimately the majority of online ad revenues have gone to tech giants such as Google and Facebook-owner Meta.

The company's revenues have been flat for some years and it has also struggled to turn a profit. Vice's plans to go public through a merger also failed.

Last month, it announced layoffs after its flagship TV programme was shut down.

BuzzFeed, another pioneering online platform, also recently announced that it was shutting down its news division and laying off 15% of its workforce amid serious financial challenges and a slump in advertising revenue.

Vice Media has filed for Chapter 11 bankruptcy protection, a procedure which postpones a US company's obligations to its creditors, giving it time to reorganise its debts or sell parts of the business.

Vice's lenders have approved $20m of funding to keep the firm going through the bankruptcy process. During this time, other firms can submit "higher or better" bids for the media company.

If these offers are not successful, Vice Media's lenders will acquire the publisher for $225m.