Zynga to Delay IPO Due To “Rocky Stock Markets”

Michael Convente August 29, 2011 0

Zynga, the company famous for producing games such as FarmVille, MafiaWars, and Zynga Poker, is delaying its IPO due to "rocky stock markets".  The company initially filed early documents for an IPO at the end of June, in the hopes of raising $1.5 to $2 billion (which would value the company at $15 to $20 billion).  Zynga's announcement in June came during a firestorm of additional announcements and actual IPOs from many tech companies, including Pandora, Facebook, and Groupon.  However, with the turbulence in the stock market during this summer, with tech stocks being hit especially hard (Pandora is currently tradng at $13.80 a share, just under 14% lower than its IPO price of $16), Zynga is having second thoughts about offering shares in the near future.

For now, the date of Zynga's IPO is up in the air.  Groupon is also having trouble with their IPO, though its being reported as due to SEC concerns about their books rather than due to the crashiing stock market.

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