Twitter to buy mobile advertising firm Namo Media

The New York Stock Exchange flew a Twitter The New York Stock Exchange flew a Twitter banner on Nov. 7, 2013, the day the social media company began trading publicly. Photo Credit: AP / Mark Lennihan

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Twitter Inc. agreed to buy Namo Media Inc. as the microblogging website seeks to bolster its reach in mobile advertising.

Twitter announced the acquisition in a blog post, without releasing financial terms of the deal. The company's shares rose 4.6 percent to $34.41 in early afternoon on Wall Street.

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As Twitter competes with Facebook and Google in the market for mobile ad dollars, the purchase of San Francisco-based Namo Media brings technology for native advertising, a strategy that blends ads with the rest of a website. Using its ad network, acquired in last year's purchase of MoPub, Twitter has said it can reach more than 1 billion phones.

"We have been working to bring native ads to mobile app publishers in order to create a more seamless and less intrusive ad experience for users," Twitter, also based in San Francisco, said Thursday in a statement.

Native advertising has become valuable as Internet users get more accustomed to ignoring the typical display and pop-up ads that appear on the edges of Web pages. A native ad in a news application could look like a promoted story, or a marketing message in a game could blend into the way it is played.

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