Zynga Wants Low Float IPO

Using the same strategy LinkedIn LNKD used during its IPO, Zynga Inc. wants to sell just a small number of shares in its IPO, according to this Bloomberg article. Bloomberg spoke with a person who had direct knowledge of the situation, and that person said that perhaps less than 10% of shares may be sold in the IPO. According to Bloomberg, the average technology IPO makes 24% of their shares available in an IPO. “Companies in this space realize there's a feeding frenzy afoot,” said David Menlow, president of IPOfinancial.com to Bloomberg. “The risk is that as a CEO you believe you are better than you actually are. The reality may be something very different.” The social gaming company has yet to submit its S-1 filing, but is said to have tapped Goldman Sachs to lead the IPO.