Zynga To Raise About $1 Billion In IPO Through $10 Per Share Pricing
Zynga Inc. has updated their IPO filing to $10 per share. This means that Zynga would likely earn about $1 billion from their IPO. This would also makes Zynga founder Mark Pincus a multibillionaire. When Zynga goes public, their market valuation would be at approximately $8.9 billion.
Zynga first announced their plans to go public this past June and rumors had it that their valuation would be at between $15 and $20 billion. Zynga’s original name was Presidio Media and was founded in April 2007. At that time, Pincus made the Texas Hold ‘Em Poker game and millions of people started playing that game instantly. This was followed up by Mafia Wars, which they copied form a rival. This was followed by games such as FarmVille, Words With Friends, CityVille, etc.
For the quarter ended September 30th, Zynga has net income of $12.5 million, which was down from $27 million a year before. Revenue in the same quarter was $307 million, compared to $170.6 million a year before that.
Zynga currently has 230 million monthly active users, which is down from 232 million when they first filed for an IPO. The number of daily active users is 58 million. The company’s cumulative revenue to date is $1.5 billion since 2007.@amitchowdhry or on Google+ at +AmitChowdhry