Online game maker Zynga prices IPO at $10 a share
NEW YORK (AP) — Online game company Zynga has priced its initial public offering at $10 per share. It is selling 100 million shares and raising $1 billion.
That's at the high end of the expected range of $8.50 to $10, a sign that investors are eager to get a piece of the hottest Internet stocks.
Zynga's IPO follows those of online deals site Groupon Inc. and professional network LinkedIn Corp. They're all precursors to Facebook's public debut expected sometime after April.
Thursday's pricing gives San Francisco-based Zynga a market value of nearly $7 billion. That's lower than Groupon, but Zynga is selling more of its stock. Selling a smaller fraction of shares can inflate valuation.
Zynga makes money by charging small amounts of money for virtual items in its games.