Electronic Arts, the publisher behind FIFA, The Sims, and Battlefield, has agreed to a massive $55 billion sale to a consortium led by Saudi Arabia’s Public Investment Fund, Silver Lake, and Affinity Partners.
The deal marks the largest leveraged buyout in history and will take EA private.
The consortium will purchase 100% of EA for $210 per share, a 25% premium to the company’s recent stock price. EA’s CEO, Andrew Wilson, will remain at the helm, and the company will continue to be headquartered in Redwood City, California. The transaction is expected to close in the first quarter of fiscal year 2027.
According to reports, the deal will be financed through $36 billion in equity and $20 billion in debt, with JP Morgan Chase leading the debt syndication. Turki Alnowaiser, Deputy Governor and Head of International Investments at PIF, said, “PIF is uniquely positioned in global gaming and esports, connecting fans, developers, and IP creators. This partnership will further drive EA’s long-term growth while fueling innovation across the industry”.
The acquisition positions the PIF-led group at the heart of the interactive entertainment industry and reflects the Gulf’s growing ambitions in global tech and media assets. EA’s strength in sports gives the company predictable revenue, with titles like Madden NFL accounting for significant sales.
EA’s upcoming releases, including Battlefield 6, are expected to contribute to the company’s growth. Analysts predict a boost from the game’s launch, which could help EA’s revenue. The deal’s completion is subject to regulatory approvals and EA stockholder approval.
The sale of EA to a Saudi-led consortium has sparked discussions about the potential impact on the company’s creative direction and future game releases. Some analysts believe that private ownership could give EA more flexibility to make long-term investments in new technology, intellectual properties, and services.