Zynga files for IPO

Zynga files for IPO

By Stuart Richardson

July 1st 2011 at 5:33PM

Casual games giant makes first move towards stock flotation

Zynga has announced that it has filed a registration with the U.S. Securities and Exchange Commission for a proposed public offering of its Class A common stock.

The number of shares that will be offered and the price that they will be offered at has yet to be set. It has been confirmed that the shares will be offered by both Zynga and certain current Zynga stockholders.

The move comes after weeks of speculation about the potential imminent flotation of a portion of Zynga stock in an IPO, as well as the price such stock could go for. The company has recently been valued at between $15 and $20bn.

"By offering our shares to the public we hope to enable Zynga to invest more in play than any company in history," said Zynga CEO and founder Mark Pincus.

"To accomplish this, we will continue to make big investments in servers, data centers and other infrastructure so players' farms, cities, islands, airplanes, triple words and empires can be available on all their devices in an instant."

Morgan Stanley & Co. LLC and Goldman, Sachs & Co. will be joint bookrunning managers and representatives of the underwriters for the offering.  BofA Merrill Lynch, Barclays Capital Inc. and J.P. Morgan Securities LLC will also be joint bookrunning managers, and Allen & Company LLC will be a senior co-manager.