The company’s CEO and co-founder, Mark Pincus, intends to sell 16.5 million shares, which comes to 15% of his ownership position. It could net him nearly $230 million.
Venture capitalists are also unloading shares. Institutional Venture Partners will sell 5.8 million shares, and Union Square Ventures will sell 5.2 million shares.
In all, the secondary offering may amount to a whopping $687 million. Zynga won’t get any proceeds. But then again, the company already has nearly $2 billion in the bank.
Zynga’s filing also provided some details on its recent acquisition of OMGPOP, which is the developer of the highly popular Draw Something app. The price tag for the deal was $180 million.
Tom Taulli runs the InvestorPlace blog IPO Playbook, a site dedicated to the hottest news and rumors about initial public offerings. He also is the author of “The Complete M&A Handbook”, “All About Short Selling” and “All About Commodities.” Follow him on Twitter at @ttaulli or reach him via email. As of this writing, he did not own a position in any of the aforementioned securities.