Rovio 'rejected $2 billion Zynga takeover'

Rovio 'rejected $2 billion Zynga takeover'
Craig Chapple

By Craig Chapple

November 28th 2011 at 3:11PM

PopCap also turned down deal 'due to rumours of the company's rescinding share awards'

Angry Birds developer Rovio allegedly rejected a buyout from Zynga worth around $2.25 billion, the New York Times has claimed.

The talks, which took place last summer, apparently broke down due to worries about the poor working conditions endured by Zynga employees.

The article states: “The company operates like a federation of city-states, with autonomous teams for each game, like FarmVille and CityVille.

“At times, it can be a messy and ruthless war. Employees log long hours, managers relentlessly track progress, and the weak links are demoted or let go.”

It added “two people with first hand knowledge” said that another deal with PopCap, worth $950 million in cash, was rejected due to rumours of the company’s rescinding share awards and fierce internal competition.

The casual games studio then accepted a $750 mill deal from Electronic Arts, potentially rising to $1.3 billion.

Zynga has spent around $119 million acquiring development teams over the last two years, but the collapse of these huge deals appears to show increasing resistance against the browser game giants.