Electronic Arts Set for Major Acquisition by Saudi Arabia’s PIF Consortium
Electronic Arts (EA), a leading name in the gaming industry, is on the verge of a significant transformation. The company has entered into a definitive agreement to be acquired by a consortium of investors led by Saudi Arabia’s Public Investment Fund (PIF), alongside Silver Lake and Affinity Partners. This all-cash transaction values EA at approximately $55 billion, marking a pivotal moment in the gaming landscape.
Details of the Acquisition
Under the terms of the agreement, the consortium will acquire 100% of EA, with PIF maintaining its existing 9.9% stake in the company. Shareholders of EA will receive $210 per share in cash, which represents a 25% premium over the unaffected share price of $168.32 recorded on September 25. This offer also exceeds EA’s all-time high share price of $179.01, reached on August 14, 2025.
A Historic Deal in Gaming
This acquisition stands out as the largest all-cash sponsor take-private transaction in history. The consortium, which combines the financial might of PIF, Silver Lake, and Affinity Partners, aims to leverage their collective capital and industry expertise to enhance EA’s growth trajectory. Their goal is to create a seamless blend of physical and digital experiences for fans around the globe.
Andrew Wilson, EA’s Chairman and CEO, expressed pride in the company’s achievements, stating, “Our creative and passionate teams at EA have delivered extraordinary experiences for hundreds of millions of fans.” He emphasized the commitment to pushing the boundaries of entertainment and technology, aiming to unlock new opportunities for future generations.
Strategic Vision from PIF
Turqi Alnowaiser, Deputy Governor and Head of International Investments at PIF, highlighted the fund’s unique position within the global gaming and esports sectors. He noted that PIF is dedicated to building ecosystems that connect fans, developers, and intellectual property creators. Alnowaiser believes this partnership will significantly contribute to EA’s long-term growth and foster innovation across the industry.
Insights from Silver Lake
Egon Durban, Co-CEO and Managing Partner of Silver Lake, shared his enthusiasm for the investment, describing EA as a global leader in interactive entertainment. He praised the company’s strong revenue growth and cash flow, stating, “We are honored to invest and partner with Andrew.” Durban expressed confidence in EA’s future, emphasizing the commitment to support the company’s innovation and expansion efforts.
Affinity Partners’ Perspective
Jared Kushner, CEO of Affinity Partners, also weighed in on the acquisition, calling EA an extraordinary company with a world-class management team. He expressed excitement about the future, noting his personal connection to EA’s games and the joy of sharing them with his children. This sentiment underscores the emotional resonance that EA’s products have with players across generations.
Board Approval and Next Steps
Luis A. Ubiñas, Lead Independent Director of EA’s Board, remarked on the thorough evaluation of the acquisition opportunity. He stated that the deal provides compelling value for shareholders while ensuring the company’s continued focus on building communities and experiences that shape the future of entertainment. The acquisition has received unanimous approval from EA’s Board of Directors and is expected to close in the first quarter of fiscal year 2027, pending regulatory approvals and a shareholder vote.
Financial Structure of the Deal
The acquisition will be financed through approximately $36 billion in equity from the consortium, which includes the rollover of PIF’s existing stake. Additionally, $20 billion in debt financing has been committed by JPMorgan Chase Bank, with $18 billion expected to be funded at the time of closing.
As this acquisition unfolds, it promises to reshape the future of Electronic Arts, positioning the company for new opportunities and innovations in the gaming industry.
