Turns Out Zynga Wanted PopCap BADLY, Offered $1 Billion In Cash For It

Mark Pincus of Zynga

Earlier this week we reported Electronic Art’s offer to buy PopCap for up to $1.3 billion.

A source close to the deal tells Forbes that Zynga was also in the running. It offered to buy PopCap for $1 billion in cash.

That’s almost all of the cash Zynga had on its balance sheet per the March IPO prospectus, notes Forbes.

Instead, PopCap went with a potentially better deal from EA: $650 million in cash, $100 million in EA stock, and as much as $550 million more if 2013 goals are hit.

“The source said Zynga would have financed the deal at least in part with a line of credit supplied by Goldman Sachs,” Forbes writes.

Another company, possibly China’s TenCent, was bidding for the gaming company too, but that offer wasn’t seriously considered.

Here’s the full scoop at Forbes >>

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