Zynga, the publishers of such smash social hits as Farmville, Cityville, Zynga Poker and many others, some of which even appear in the Android Market, went public Friday. Zynga stock, which appeared on the Nasdaq as ZNGA, was expected to be one of those ginormous silicon valley offerings. Zynga set it’s stock price at $10 on Thursday.
Friday Zynga’s founder Mark Pincus rang Nasdaq’s opening bell in San Francisco. After that it was off to the races. The stock spiked at $11.50 but by the close on Friday afternoon at had fallen to $9.50
While $.50 a share may not seem like a lot, Zynga was valued at $14 billion dollars back in August when they went for their last round of venture funding. The $10 stock price valued the company at $7 billion dollars.
On the upside Zynga was able to sell 14.5% of it’s available stock on Friday which is a lot more than the 5.5% of available shares that Groupon recently sold in it’s IPO in November.
Zynga isn’t concerned about the 5% drop on Friday. Zynga’s COO John Schappert told the Wall Street Chet Sheet:
“We’re not looking at it today or tomorrow, or what we could have squeezed out. We’re looking at the long run.”
source: Associated Press