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Press release from Business Wire

Newman Ferrara LLP Files Class Action on Behalf of Purchasers of Zynga, Inc. Common Stock

Tuesday, July 31, 2012

Newman Ferrara LLP Files Class Action on Behalf of Purchasers of Zynga, Inc. Common Stock14:39 EDT Tuesday, July 31, 2012 NEW YORK (Business Wire) -- Newman Ferrara LLP ( announced today that it filed a class action lawsuit in the U.S. District Court for the Northern District of California (Case No. 12-cv-124007) on behalf of purchasers of the common stock of Zynga, Inc. (“Zynga” or the “Company”) (NASDAQ: ZNGA) between February 28, 2012 and July 25, 2012, inclusive (the “Class Period”) and includes those investors who acquired Zynga stock pursuant to and/or traceable to Zynga's secondary stock offering on April 3, 2012. According to the Complaint, Zynga completed a secondary stock offering on April 3, 2012 which enabled Zynga insiders to sell over 43 million shares of their Zynga stock at a price of $12.00 per share for proceeds of approximately $516 million. On July 25, 2012, Zynga announced its financial results for the second quarter of 2012, reporting substantially lower than expected earnings and lowering its 2012 guidance. Following this announcement, the Company's common stock plummeted 40% in value down to $2.97 per share. The Complaint asserts violations of Sections 11, 12(a)(2), and 15 of the Securities Act of 1933 and Sections 10(b) and 20(a) of the Securities Exchange Act of 1934, and Rule 10(b)(5) promulgated thereunder, against Zynga, certain of its officers and directors, and those who served as underwriters in connection with Zynga's secondary stock offering. The Complaint alleges that the defendants issued false and misleading statements and omissions, including a false and misleading Registration Statement and Prospectus in connection with Zynga's secondary offering, about Zynga's business, operations, and growth prospects. No class has yet been certified in the above action. Members of the Class will be represented by the lead plaintiff and counsel chosen by the lead plaintiff. If you wish to be appointed lead plaintiff, you must apply with the Court no later than October 1, 2012. The lead plaintiff will direct the litigation on behalf of the other Class members. The Court will select the lead plaintiff from among applicants claiming the largest investment losses. You are not required to have sold your shares to seek damages or to serve as a lead plaintiff. Investors who purchased shares of Zynga common stock during the Class Period and lost more than $100,000 are encouraged to contact Newman Ferrara attorneys Jeffrey M. Norton ( or Roy Shimon ( by email or call (212) 619-5400 to discuss this action or the lead plaintiff process. Newman Ferrara maintains a multifaceted practice based in New York City with attorneys specializing in complex commercial and multi-party litigation with an emphasis on securities, ERISA, shareholder litigation, consumer fraud, and real estate. For more information, please visit the firm website at Newman Ferrara LLPJeffrey M. Nortonjnorton@nfllp.comorRoy Shimonrshimon@nfllp.com1250 Broadway, 27th Fl.New York, NY 10001Tel: 212-619-5400