While they might not be the household name that Zynga is, Storm8 is a company that’s made some serious waves in social gaming. In terms of mobile social games, their TeamLava brand of games (City Story, Restaurant Story, Zoo Story, et al) frequently pop up on lists of top grossing apps. Their own Storm8 branded games like World War and iMobsters aren’t exactly slouches either. In fact, back in June the company announced its first million dollar day. But could they really be worth a billion dollars?

TechCrunch seems to think it’s not out of the realm of possibility. According to their sources, the firm is currently raising a massive round of funding -$300 million at a $1 billion valuation. What’s more, TechCrunch is also reporting on rumors that Zynga was looking into a purchase of the company but stepped away from the table when the price went a little too high for their liking.

With so many big purchases over the last year in the social mobile space – ngmoco selling for up to $400 million, OpenFeint selling for $104 million – maybe that rumoured billion dollar valuation isn’t as crazy as it sounds. How much would you pay for a company that may be on track to make $100 million this year?