Did someone just take away the tech IPO punchbowl? San Francisco-based Zynga and CEO Mark Pincus had little to cheer after today’s flop on the first day of trading. The stock closed down 5 percent from the $10 initial public offering price. An excerpt from a Reuters piece:
At least one analyst said on Friday that some investors may have been turned off by Chief Executive Mark Pincus' large voting stake and control over the company. He has a special class of shares that grants him 37 percent voting power even though his equity stake is much lower, and public shareholders will have less than 2 percent of votes.
