One other one of many greatest sport publishers on the planet is being bought. On Monday, Digital Arts introduced a $55 billion deal to take the writer behind huge franchises like Madden, The Sims, and Apex Legends non-public, promoting to Saudi Arabia’s Public Funding Fund, Silver Lake Companions, and President Donald Trump son-in-law Jared Kushner’s Affinity Companions.
The all-cash deal values the corporate at a 25-percent premium over its mid-August inventory value and is about to be finalized by mid-2026 pending shareholder and regulatory approvals. Present CEO Andrew Wilson will stay the pinnacle of the writer which can keep headquartered in California. Roughly $20 billion of the sale is debt-financed via JPMorgan Chase Financial institution.
The sale builds on Saudi Arabia’s present 10 p.c possession of the corporate which was constructed up lately amid investments throughout the bigger gaming business. These included the $4.9 billion buy of Monopoly Go! cell sport maker Scopely in 2023 and the gobbling up of Pokémon Go and Niantic’s different gaming companies earlier this yr for $3.5 billion. The present $55 billion buyout of EA isn’t just the government-backed Public Funding Fund’s largest gaming acquisition to this point, it’s additionally the most important sale ever to take an present public firm non-public.
“Our creative and passionate teams at EA have delivered extraordinary experiences for hundreds of millions of fans, built some of the world’s most iconic IP, and created significant value for our business. This moment is a powerful recognition of their remarkable work,” Wilson mentioned in a press launch. “Looking ahead, we will continue to push the boundaries of entertainment, sports, and technology, unlocking new opportunities. Together with our partners, we will create transformative experiences to inspire generations to come. I am more energized than ever about the future we are building.”
Based again in 1982, EA has turn out to be a gaming empire huge with studios throughout the globe like Mass Impact maker BioWare Break up Fiction developer Hazelight, in addition to franchises like Battlefield and EA Sports activities FC (previously referred to as FIFA). It’s not but clear how the deal will impact the dimensions and scope of the roughly 15,000-person writer, although this a lot cash not often modifications palms with out numerous individuals dropping their jobs.
“EA has been challenged to innovate in the last decade,” Wedbush Securities analyst Michael Pachter informed Kotaku in an e mail over the weekend after news of the deal first leaked. “Several franchises have faded (Mass Effect, Dragon Age, Burnout, NFS), some failed (Anthem) and only a handful continue to produce. They suck at mobile and appear too focused on pleasing investors and not focused enough on pleasing gamers. I think the Saudis have the potential to jump-start mobile and to try innovative moves like making Ultimate Team free.”
Saudi Arabia’s funding companions embody the non-public fairness corporations Silver Lake and Affinity Companions, the latter of which was based by Kushner after Trump left workplace in 2021. Roughly half of its reported funding, roughly $2 billion, is also from Saudi Arabia. “Electronic Arts is an extraordinary company with a world-class management team and a bold vision for the future,” Kushner mentioned in an announcement. “I’ve admired their ability to create iconic, lasting experiences, and as someone who grew up playing their games - and now enjoys them with his kids–I couldn’t be more excited about what’s ahead.”
The deal arrives amid recent criticism of individuals promoting out to the Saudi Royal household regardless of its report of human rights abuses. Organizations backed by PIF held the Esports World Cup in Riyadh this summer season and hosted talks with high-profile business figures like Hideo Kojima and Ubisoft CEO Yves Guillemot, whose firm is at the moment producing an Murderer’s Creed DLC set in Saudi Arabia. Outdoors the world of gaming, well-known comedians like Invoice Burr and Dave Chappelle have been just lately criticized for attending the Riyadh Comedy Pageant.
“From the folks that brought you 9/11,” quipped WTF podcast host Marc Maron last week. “Two weeks of laughter in the desert, don’t miss it! The same guy that’s gonna pay them is the same guy that paid that guy to bone-saw Jamal Khashoggi and put him in a f***ing suitcase. But don’t let that stop the yuks, it’s gonna be a good time!”
The total press launch is under:
Beneath the phrases of the settlement, the Consortium will purchase 100% of EA, with PIF rolling over its present 9.9% stake within the Firm. EA stockholders will obtain $210 per share in money. The per share buy value represents a 25% premium to EA’s unaffected share value of $168.32 at market shut on September 25, 2025, the final totally unaffected buying and selling day, and a premium to EA’s unaffected all-time excessive of $179.01 at market shut on August 14, 2025.
PIF, Silver Lake, and Affinity Companions deliver deep sector expertise, dedicated capital, and international portfolios with networks throughout gaming, leisure, and sports activities that supply distinctive prospects for EA to mix bodily and digital experiences, improve fan engagement, and create new development alternatives. The transaction represents the most important all-cash sponsor take-private funding in historical past, with the Consortium partnering intently with EA to allow the Firm to maneuver quicker and unlock new alternatives on a world stage.
“Our creative and passionate teams at EA have delivered extraordinary experiences for hundreds of millions of fans, built some of the world’s most iconic IP, and created significant value for our business. This moment is a powerful recognition of their remarkable work,” mentioned Andrew Wilson, Chairman & CEO of Digital Arts. “Looking ahead, we will continue to push the boundaries of entertainment, sports, and technology, unlocking new opportunities. Together with our partners, we will create transformative experiences to inspire generations to come. I am more energized than ever about the future we are building.”
“PIF is uniquely positioned in the global gaming and esports sectors, building and supporting ecosystems that connect fans, developers, and IP creators,” mentioned Turqi Alnowaiser, Deputy Governor and Head of Worldwide Investments at PIF. “PIF has demonstrated a strong commitment to these sectors, and this partnership will help further drive EA’s long-term growth, while fueling innovation within the industry on a global scale.”
“This investment embodies Silver Lake’s mission to partner with exceptional management teams at the highest quality companies. EA is a special company: a global leader in interactive entertainment, anchored by its premier sports franchise, with accelerating revenue growth and strong and scaling free cash flow. We are honored to invest and partner with Andrew – an extraordinary CEO who has doubled revenue, nearly tripled EBITDA, and driven a fivefold increase in market cap during his tenure,” mentioned Egon Durban, Co-CEO and Managing Accomplice of Silver Lake. “The future for EA is bright, we are going to invest heavily to grow the business and we are excited to support Andrew and the EA team as the company accelerates innovation, expands its reach worldwide, and continues to deliver incredible experiences to players and fans across generations.”
“Electronic Arts is an extraordinary company with a world-class management team and a bold vision for the future. I’ve admired their ability to create iconic, lasting experiences, and as someone who grew up playing their games - and now enjoys them with his kids – I couldn’t be more excited about what’s ahead,” mentioned Jared Kushner, Chief Govt Officer of Affinity Companions.
“The Board carefully evaluated this opportunity and concluded it delivers compelling value for stockholders and is in the best interests of all stakeholders,” mentioned Luis A. Ubiñas, Lead Unbiased Director of EA’s Board of Administrators. “We are pleased that this transaction delivers immediate and certain cash value to our stockholders while strengthening EA’s ability to continue building the communities and experiences that define the future of entertainment.”
Transaction Particulars
The transaction was accepted by EA’s Board of Administrators, is predicted to shut in Q1 FY27 and is topic to customary closing circumstances, together with receipt of required regulatory approvals and approval by EA stockholders. Following the shut of the transaction, EA’s frequent inventory will not be listed on any public market.
The transaction will probably be funded by a mix of money from every of PIF, Silver Lake, and Affinity Companions in addition to roll-over of PIF’s present stake in EA, constituting an fairness funding of roughly $36 billion, and $20 billion of debt financing totally and solely dedicated by JPMorgan Chase Financial institution, N.A., $18 billion of which is predicted to be funded at shut. Every of PIF, Silver Lake, and Affinity Companions plan to fund the fairness part of the financing totally from capital beneath their respective management.
Upon completion of the transaction, EA will stay headquartered in Redwood Metropolis, California and proceed to be led by Andrew Wilson as CEO.
Replace: 9/29/2025 8:58 a.m. ET: Added extra details about EA, particulars of the deal, and a quote from an analyst.
