Zynga IPO raises US1B - Mobile World Live

Zynga IPO raises US1B

16 DEC 2011

Games-maker Zynga has raised US$1 billion via an IPO, valuing the firm at around US$7 billion, reports Bloomberg.
The California firm claims to be the market leader in social gaming, boasting 227 million monthly active users. It is best known for its Facebook games such as FarmVille and Mafia Wars.
Zynga said in a statement that it sold 100 million shares for US$10 each. According to Bloomberg, the offering is the largest by a US Internet company since Google raised US$1.9 billion in its 2004 IPO.
“Zynga and its games are becoming consumer brands and there is a lot of recognition for growth potential,” said Colin Sebastian, an analyst at Robert W. Baird & Co.
Zynga plans to the use net proceeds for game development, marketing and general corporate purposes, according to its filing.
Founded by current CEO Mark Pincus in 2007, Zynga doubled sales to US$829 million in the first nine months of the year.
Zynga's games are available on a number of global platforms, including Facebook, Google+, Tencent, iOS and Android.