Zynga Looks for $2B IPO

Would value FarmVille creator at $20B
By Mark Russell,  Newser Staff
Posted Jun 29, 2011 8:50 AM CDT
This screen shot provided by Zynga, shows the online game "CityVille."   (AP Photo/Zynga)
camera-icon View 1 more image

(Newser) – Zynga, the gaming company behind such Facebook behemoths as FarmVille and CityVille, is poised for an IPO that could raise as much as $2 billion—which would turn it into a $20 billion company, reports Reuters. Analysts expect Zynga, with 215 million active monthly users, to file its paperwork today for the IPO, which would be an important bellwether for the value of social media companies.

The biggest two social media IPOs this year have had mixed results—LinkedIn has declined from its opening highs, although it is still above its initial price, while Chinese Renren has lost half of its value since opening in May. Many tech companies, including Groupon and possibly Facebook and Twitter, are moving fast to go public because the field is quite trendy now, said one analyst, but six months or so in the future, "the conditions may not be as favorable."

My Take on This Story
Show results without voting  |