Zynga Raises $1 Billion Line Of Credit and Files Internal Valuation Of $11.15 Billion
Social gaming development company Zynga Inc. has raised a $1 billion line of credit in July from Morgan Stanley, Goldman Sachs, and several other banks according to a regulatory filing. Zynga did not indicate whether the stock market conditions would affect an IPO. Zynga’s amended S-1 document for the IPO also had disclosed how Zynga valued themselves in the past before the stock market fluctuations. This past March, Zynga indicated that they were worth $11.15 billion. Another third party valuation had indicated that Zynga’s value was less than half at $4.98 billion.
Zynga also corrected an accounting error for its Q1 2011 revenue, which added a $7.5 million increase in Q1 revenue. That brings that company’s Q1 revenue up to $240 million. Zynga also hired 300 more employees in the last two months.
[TC]This article was written by Amit Chowdhry. You can follow me at @amitchowdhry or on Google+ at +AmitChowdhry