Finance

Electronic Arts Agrees to Record $55B Buyout by Saudi-Led Consortium

Published SEP 29 2025

Story

Above: The Electronic Arts logo is displayed behind a DualSense gaming controller. Image credit: Jakub Porzycki/NurPhoto/Getty Images

The Facts

Video game maker Electronic Arts (EA), the company behind Madden, Sims and Battlefield, agreed to be bought out and privatized by a consortium of investors, including Saudi Arabia's Public Investment Fund (PIF), Silver Lake Partners and Jared Kushner's Affinity Partners for $55 billion.
The Wall Street Journal
ABC Australia
Electronic Arts
The transaction, which will give stockholders $210 per share, represents the largest leveraged buyout in history, surpassing the previous record of $32 billion paid for Texas utility (TXU) in 2007, and will end EA's 36-year history as a publicly traded company.
FOX News
NBC
PIF will roll over its existing 9.9% stake in Electronic Arts and contribute the majority of the approximately $36 billion equity investment, while JPMorgan Chase provides $20 billion in debt financing for the deal.
New York Post
Electronic Arts
CEO Andrew Wilson will remain in his role after the acquisition closes, and EA's headquarters will continue to be located in Redwood City, California, according to statements from the companies involved in the transaction.
The Wall Street Journal
ABC Australia
EA's annual revenues have remained stagnant between $7.4 billion and $7.6 billion over the past three fiscal years, while competitor Activision Blizzard was acquired by Microsoft for nearly $69 billion in 2023.
The New York Times
NBC
The deal is expected to close in the first quarter of fiscal year 2027 and requires approval from EA shareholders, with the transaction subject to customary regulatory approvals and other closing conditions.
FOX News
Electronic Arts

Sources Split

LEFT

CENTER

RIGHT

ESTAB
CRIT

CENTER

PRO
ESTAB

The Spin

Narrative A

This historic investment demonstrates unprecedented confidence in EA's creative vision and long-term potential. The consortium brings deep expertise across sports, gaming and entertainment, providing resources to amplify creativity and accelerate innovation. With continued leadership stability and unwavering commitment to players, EA can now pursue opportunities that position the company to lead the industry's future.

Electronic Arts

Narrative B

This buyout represents the opposite of a creativity-focused business. Private equity's track record in entertainment is devastating — all one needs to do is look at how similar buyouts hollowed out the music industry, turning cultural powerhouses into debt-burdened catalogue exploiters. This deal prioritizes extracting maximum value from existing assets rather than building new, innovative companies.