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Zynga’s CEO Demands Return of Pre-IPO Stocks from Employees

CEO of online gaming company Zynga, Mark Pincus, is reportedly pushing the early employees of the company to hand over the stock owned by them before the company's initial public stock offering.

The company earlier offered free stock to their top talent; however, according to The Wall Street Journal (opens in new tab), CEO Pincus has developed "giver's remorse".

The reason behind this remorse is that some of the earlier appointed stock-holder employees have not contributed as much as the relatively newly appointed employees have contributed to the company. The early employees qualified for more share by virtue of being there before the newer employees.

The developer of FarmVille, City Ville and Zynga Poker filed for an Initial Public Offering (IPO), however, they have not yet confirmed how much they are planning to raise from this.

Besides Zynga, many other companies are also offering IPOs, for example Groupon Inc. has already released their IPO a week before and probably by next year Facebook will also release their IPO, reported USA Today (opens in new tab).

Currently, San Francisco based, Zynga Inc. has around 3000 employees and according to Wall Street Journal Zynga's demand for the stock is only applicable to shares which have not been vested till now.

Ravi Mandalia

Ravi Mandalla was ITProPortal's Sub Editor (and a contributing writer) for two years from 2011. Based in Ahmedabad, India, Ravi is now the owner and founder of Parity Media Pvt. Ltd., a news and media company, which specializes in online publishing, technology news and analysis, reviews, web site traffic growth, web site UI. Ravi lists his specialist subjects as: Enterprise, IT, Technology, Gadgets, Business, High Net Worth Individuals, Online Publishing, Advertising, Marketing, Social Media, News, Reviews, Audio, Video, and Multi-Media. He has also previously worked as Dy. Manager - IT Security at (n)Code Solutions.