Zynga updates S-1 filing, reports internal valuation of $11.5 billion in March

If you are one of the 232 million people worldwide that build virtual farms or shore up virtual sorority houses, Zynga shareholders may eventually have a reason to thank you. Zynga has revised its S-1 filing with the SEC and provided some very healthy numbers about the business.

“In late March 2011,” the report stated, “[Zynga’s] board of directors determined that the fair value of our common stock and Series Z preferred stock remained $13.96 per share.” With the number of outstanding shares, this internal evaluation would mean the company is worth about $11.5 billion.

This is a company that was founded in July of 2007. And no doubt that number has grown since March.

Also of note were the reports of Zynga diversifying their revenue streams. Initially analysts were quick to note that the company depended too much on only three games and Zynga reports that figure was about 93 percent. Since 2007 that number has dropped to 63 percent.

Much of Zynga’s growth, as stated in the report and elsewhere, can be attributed to the explosive growth Facebook has seen in the past few years. As of June it owned the top five most popular games on Facebook.

The Apple App Store has also been a great platform. “Hanging With Friends” became the most popular game within a week of launch in June.

And perhaps, that’s the Achilles heel to monitor when assessing Zynga’s value: it largely depends on third party platforms. As Twitter developers have learned in the last year, that’s not always the strongest position from which to run a business.

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