Thu, Jul 14, 2011 | 07:42 BST
Report – Zynga offered $1 billion cash for PopCap
Whispers say Zynga was ousted from the PopCap acquisition war at the last minute, despite putting more on the table than ultimately successful bidder EA.
Forbes cited a “source close to the deal” and claimed there was a third bidder, possibly Tencent, which dropped out before EA and Zynga’s clash.
Zynga would allegedly have financed the deal by drawing on credit extended by Goldman Sachs, one of the chief financiers of Zynga’s public offering.
Forbes notes that Zynga had close to $1 billion on its balance sheet as of March 31, so presumably was in a good position to put its money where its mouth was.
Zynga has refused to comment on the matter.
EA forked over $650 million in cash and $100 million in stock options for the tremendously successful casual-focussed studio.