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Zynga makes $1 billion with $10 share price

All shares sold at higher end of price range as Zynga stocks starts trading

Zynga has raised $1 billion in its much anticipated IPO today, after offering its 100 million shares at $10 each.

Bloomberg reported the $1 billion (£644 million) figure this morning, a total that comes below Google's $1.9 billion in 2004, but represents a massive IPO for an internet company.

Reports of the $10 price circulated late last night, before confirmation came from the Farmville publisher in the form of a press release. Earlier this week the price range for shares had been set between $8.50 and $10.

"Zynga and its games are becoming consumer brands and there is a lot of recognition for growth potential," analyst Colin Sebastian told Bloomberg late last night.

"My guess is that the shares will be well-received."

Earlier this week analysts seemed cool on the social gaming giant, voicing concerns over Facebook dependence and repeating the success of games like Farmville.

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Rachel Weber avatar
Rachel Weber has been with GamesIndustry since 2011 and specialises in news-writing and investigative journalism. She has more than five years of consumer experience, having previously worked for Future Publishing in the UK.
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