WEST HARTFORD, CT--(Marketwire -08/01/12)- The law firm of Izard Nobel LLP, which has significant experience representing investors in prosecuting claims of securities fraud, announces that a lawsuit seeking class action status has been filed in the United States District Court for the Northern District of California on behalf of purchasers of the securities of Zynga, Inc. ("Zynga" or the "Company") (ZNGA) between December 16, 2011 and July 25, 2012, inclusive (the "Class Period").
The Complaint alleges that Zynga, a developer of online social games, and certain of its officers and directors violated the federal securities laws. The Complaint alleges that defendants issued misleading statements regarding Zynga's business and prospects, including in Registration Statements and Prospectuses for the Company's initial public offering ("IPO") and secondary offering of its Class A common stock. Specifically, defendants failed to disclose the following: (i) the December 15, 2011 Registration Statement for the Company's IPO failed to disclose that under Zynga's agreements with Facebook, Zynga game cards could only be distributed and redeemed on Facebook until April 30, 2012, or the true extent of the current risk of Facebook policy changes on Zynga's bookings prospects and overall financial condition; (ii) Facebook had already begun to change its platform and user policies to a degree that would negatively impact Zynga's current and future bookings metrics and growth prospects; and (iii) the March 2012 acquisition of OMGPOP and "Draw Something" could not support the increased bookings and financial forecasts issued during the Class Period.
If you are a member of the class, you may, no later than October 1, 2012, request that the Court appoint you as lead plaintiff of the class. A lead plaintiff is a class member that acts on behalf of other class members in directing the litigation. Although your ability to share in any recovery is not affected by the decision whether or not to seek appointment as a lead plaintiff, lead plaintiffs make important decisions which could affect the overall recovery for class members.
While Izard Nobel LLP has not filed a lawsuit against the defendants, to view a copy of the Complaint initiating the class action or for more information about the case, and your rights, visit: www.izardnobel.com/zynga/, or contact Izard Nobel LLP toll-free: (800)797-5499, or by e-mail: firstname.lastname@example.org. For more information about class action cases in general, please visit our website: www.izardnobel.com.