Aug 1, 2019

Why Zynga sold its home to fund its future

Ina Fried, author of Login

Image: Zynga

Although it's certainly a luxury to own a home in the Bay Area, Zynga CEO Frank Gibeau said it was better for the casual-game maker to sell its prime San Francisco headquarters and use the money to fund acquisitions.

Why it matters: The money raised from the sale, combined with the proceeds of a convertible bond offering, gives the company $1.4 billion in cash.

  • "We are a games company, not a real estate company. It was a wonderful asset and it had appreciated a lot," Gibeau said in an interview in conjunction with the company's quarterly earnings report on Wednesday.
  • "We didn't have a company we are going to buy next Tuesday that we needed the money for," Gibeau said. But acquisitions will eventually let the company expand into new markets and onto new devices, and get more game titles running on its engine.

Go deeper: Zynga CEO on going from offense to defense

Go deeper

Biden formally secures Democratic presidential nomination

Joe Biden speaks at Delaware State University's student cente on June 5. Photo: Jim Watson/AFP via Getty Images

Former Vice President Joe Biden became the formal Democratic presidential nominee on Friday evening, per AP.

The big picture: Biden has been the presumptive frontrunner to take on President Trump since Sen. Bernie Sanders suspended his campaign in early April.

Updated 4 hours ago - Politics & Policy

Coronavirus dashboard

Illustration: Sarah Grillo/Axios

  1. Global: Total confirmed cases as of 9 p.m. ET: 6,724.516 — Total deaths: 394,018 — Total recoveries — 2,996,832Map.
  2. U.S.: Total confirmed cases as of 9 p.m. ET: 1,894,753 — Total deaths: 109,042 — Total recoveries: 491,706 — Total tested: 19,231,444Map.
  3. Public health: WHCA president says White House violated social-distancing guidelines to make reporters "a prop" — Jailing practices contribute to spread.
  4. Sports: How coronavirus could reshuffle the sports calendar.
  5. Jobs: Better-than-expected jobs report boosts stock market.
  6. Media: The Athletic lays off 8% of staff, implements company-wide pay cut.

Scoop: German foreign minister to travel to Israel with warning on annexation

Heiko Maas. Photo: Michael Kappeler/picture alliance via Getty Images

German Foreign Minister Heiko Maas is expected to travel to Israel next week to warn that there will be consequences if Israeli leaders move forward with plans to annex parts of the West Bank, Israeli officials and European diplomats tell me.

Why it matters: Israeli and European officials agree that if Israel goes ahead with unilateral annexation, the EU will respond with sanctions.