Zynga priced its IPO at $10 a share, according to Bloomberg and CNBC (bankers love to leak). The IPO. which is set for tomorrow, will be in the upper end of the $8.50 to $10 price range the company indicated previously in SEC filings.
Zynga will sell at least 100 million shares, raising $1 billion at a $7 billion valuation. The valuation is about half of where early reports were speculating it would be, but Zynga lowered the price in the face of the tepid performance of other tech IPOs lately and general economic concerns weighing down the stock market. Even with the lower price, Zynga is poised to open trading with a bigger market cap bigger than LinkedIn, which currently is at $6.4 billion.