German publishing major Gruner + Jahr has acquired SeventyNine, a mobile ad network backed by Manish Vij's Vun Network and Harish Bahl's Smile Group. According to EconomicTimes, the deal was valued at Rs 38 crore ($7 mn). With this deal, the company will now be a subsidiary of Delhi-based digital ad network NetworkPlay, which was acquired by the Gruner + Jahr earlier this year. The deal provided an exit to Smile Vun Group.

Launched in February 2012 by Deven Dharamdasani, SeventyNine is a cross-platform Pay-for-Performance mobile network that offers a platform to enable application downloads and seeks to provide higher reach and visibility to brands besides bringing in new media advertising formats on mobile. SeventyNine claims to be currently serving 1.8 billion ad requests and focusing actively on building inventories across mobile applications and mobile web.

Manish Vij, Founder, Smile Vun Group, said, “SVG is committed to introducing path-breaking businesses in the digital media industry and accelerating their journey to success. Our seven months association with SeventyNine has been extremely successful leading it to be the fastest growing mobile ad-network in India. SeventyNine has great potential as a business and we are certain that its association with Gruner+Jahr will provide a global platform for the business to grow further. This alliance is the beginning of our relationship with Gruner+Jahr.”

Torsten-Jörn Klein, President, Gruner+Jahr International, said “The expansion of Networkplay in the mobile space through the acquisition of SeventyNine is clearly following our strategic commitment to grow our mobile business in the Indian market. G+J believes that in the Indian market, one of the fastest growing digital markets, the mobile segment will gain increasing importance. G+J is looking forward to further expand in that area together with NetworkPlay and the SeveNtynine team.”

SeventyNine’s Co-founders said “We are excited about our association with Networkplay and being a part of the international Gruner + Jahr and Bertelsmann family. We would like to express our gratitude to Smile Vun Group for believing in our vision and goals and helping us grow at such a phenomenal rate. We are certain that association with Networkplay would be an impetus for our business and aid our objective of becoming the leading player in the mobile advertising space in India and beyond.”

SeventyNine is G+J’s second digital acquisition in India after Networkplay. Gruner + Jahr intends to strengthen its digital presence in the Indian market and SeventyNine’s acquisition will help G+J and Networkplay fortify their competence and position in the mobile space.

In the new group, SeventyNine’s immediate focus would be technology, product and expansion in South East Asia and Middle East. Gruner + Jahr is the publishing division of Bertelsmann AG. Bertelsmann is an international media company whose core divisions encompass television (RTL Group), book publishing (Random House), magazine publishing (Gruner + Jahr), and outsourcing services (Arvato) in 50 countries.

Bertelsmann holds around 75% stake in G+J, which also owns Brown Printing Company, a US publishing firm. G+J has already set up a wholly owned subsidiary in India. G+J publishes over 500 magazines and newspapers in 30 countries.