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Zynga targeting $900 million IPO
Zynga targeting $900 million IPO-October 2024
Oct 16, 2024 11:29 PM

  Zynga is finally going public, but market fluctuations are changing the social game maker's plans on a weekly basis. The company filed initial public offering (IPO) papers stating a valuation of $14.05 billion just two weeks ago, but now it is scaling back that number to stay in the good graces of investors.

  Zynga's IPO valuation is still in flux. Going into its IPO, Zynga is looking to issue 100 million shares at a price between $8.50 and $10 each, according to Reuters. This would put the total valuation for the company at $9.04 billion, compared to the $14.05 billion figure bandied about after its initial IPO filing.

  However, some would-be investors are concerned about the future and the potential impact that a slowed pace of growth alongside Facebook might have on the social game maker. Other concerns surrounding the IPO include potential issues regarding Zynga CEO Mark Pincus holding a class of shares that grant 70 times more voting power than the common stock. Following the IPO of 100 million shares, Pincus will retain 36.2 percent of total voting power. Reuters quotes a buyer saying, "Future shareholders should assume Zynga won't listen to them."

  Zynga is to set its IPO share price on December 15 with public trading starting on December 16.

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