Zynga stockholders will receive $3.50 in cash and $6.36 in shares of Take-Two common stock for each share of Zynga common stock outstanding at the closing of the transaction.

The transaction is expected to be completed during the first quarter of Take-Two’s fiscal 2023, which ends June 30, 2022.

"Combining Zynga’s expertise in mobile and next-generation platforms with Take-Two’s best-in-class capabilities and intellectual property will enable us to further advance our mission to connect the world through games while achieving significant growth and synergies together," said Frank Gibeau, CEO of Zynga.

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Zynga develops, markets and operates social games as live services played on mobile platforms and social networking sites.

ZNGA Price Action: Zynga has traded as low as $5.57 and as high as $12.32 over a 52-week period.

The stock was up 48.8% at $8.93 at time of publication.

Photo: World Poker Tour from Flickr.