VerSe Innovation, the parent company of Indian news aggregator app Dailyhunt, has acquired the digital newsstand platform Magzter. The financial terms of the deal are undisclosed. The acquisition highlights VerSe's focus on serving affluent audiences, with Magzter boasting over 1 million paying subscribers in India and 87 million active users globally. Dailyhunt, valued at $5 billion, plans to launch Dailyhunt Premium this year, incorporating Magzter's catalog and offering an ad-free experience. Magzter founders will continue to work on the platform following the acquisition, as VerSe aims to improve its finances and seeks partnerships with financially successful companies.
Key Takeaways
- VerSe Innovation, parent firm of Dailyhunt, acquires Magzter, a digital newsstand platform.
- Magzter offers 8,500 magazine titles, has 1 million paying subscribers in India, and a global active user base of 87 million.
- Dailyhunt plans to launch Dailyhunt Premium, integrating Magzter’s catalog, offering an ad-free experience.
- VerSe expects to be EBITDA profitable at the group level by next year and is focused on financially successful firms for deals.
- Magzter founders will continue to work on Magzter after the acquisition, maintaining partnerships with large publishers.
Analysis
VerSe Innovation's acquisition of Magzter reflects its strategic focus on upscale audiences, leveraging Magzter's 1 million Indian subscribers and 87 million global users. Dailyhunt's incorporation of Magzter's catalog signals a move towards a premium, ad-free offering. The undisclosed financial terms suggest a substantial investment. The acquisition is expected to enhance VerSe's financial prospects, aiming for EBITDA profitability by next year. Short-term consequences may involve adjustments in Magzter's operations, while long-term effects could reshape India's digital newsstand landscape and influence partnerships with prominent publishers. The deal may impact Dailyhunt's valuation and position VerSe as a key player in India's digital media industry.
Did You Know?
- Magzter offers 8,500 magazine titles, has 1 million paying subscribers in India, and a global active user base of 87 million.
- Dailyhunt plans to launch Dailyhunt Premium, integrating Magzter’s catalog, offering an ad-free experience.
- VerSe expects to be EBITDA profitable at the group level by next year and is focused on financially successful firms for deals.