Wow, what lucky timing.
The Escapist : News : Zynga Bosses Bailed Out Before Crash
In a sudden reversal of fortune, Zynga's stock has gone from $12 per share to a $3 per share. However not everyone came out of this catastrophe unhappy. Several important shareholders - among them Zynga's CEO, CFO, COO and General Counsel - walked away with millions while ordinary shareholders lost their shirts.
Zynga General Counsel Reginald Davis was the one who got the least, at $3.8 million. That pales in comparison to CEO Mark Pincus' $200 million for his 16.5 million share holding. Other Zynga insiders - Google, SilverLake Partners, Reid Hoffman the PayPal guru who later joined Zynga's board of directors - sold at the same time the Zynga board did, which raises the unpleasant possibility of insider trading.
At least one market analyst, Richard Greenfield of BTIG, regrets recommending Zynga as a buy to his customers. "Right now," Greenfield said, "everything is going wrong for Zynga. In a rapidly changing Internet landscape that is moving to mobile, it's very hard to have confidence these issues are temporary."