The Zynga pricing is going to get bumped up:
Zynga Said to Receive Enough Orders to Cover All 100 Million Shares in IPO
By Zijing Wu
Bloomberg
Dec 8, 2011 9:42 AM CT
Zynga Inc., the biggest maker of games on Facebook, received enough orders to cover all the shares being sold in its initial public offering, said two people with knowledge of the situation.
The people declined to be identified as the process is private. Zynga plans to sell 100 million shares for $8.50 to $10 apiece, according to regulatory filings. The high end of that price range would value San Francisco-based Zynga at $7 billion.
The IPO would be the largest by a U.S. Internet company since that of Google Inc. in 2004. Zynga is offering about 14 percent of its common stock, a larger portion than companies including Groupon Inc., LinkedIn Corp., and Pandora Media Inc. have sold this year in their trading debuts.
Zynga plans to sell 100 million Class A common shares in the offering, which Morgan Stanley and Goldman Sachs Group Inc. (GS) are managing, according to the filing. Dani Dudeck, a spokeswoman for the company, declined to comment.
More than 90 percent of Zynga’s revenue comes from Facebook Inc., operator of the world’s most popular social-networking site. Facebook itself is considering raising about $10 billion in an IPO that would value the company at more than $100 billion, a person with knowledge of the matter said last month.
Zynga plans to list under the symbol ZNGA on the Nasdaq Stock Market.
To contact the reporter on this story: Zijing Wu in London at zwu17@bloomberg.net
To contact the editor responsible for this story: Jennifer Sondag at jsondag@bloomberg.net
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