- A $55 billion debt-financed acquisition takes EA private in the largest deal of its kind in Wall Street history.
- Shareholders receive $210 per share in cash, while the Public Investment Fund retains its 9.9% stake.
- The deal strengthens Saudi Arabia’s global footprint in gaming and technology, aligning with Vision 2030.
Electronic Arts (EA) announced on Monday its approval of a historic acquisition deal led by Saudi Arabia’s Public Investment Fund (PIF), in partnership with Silver Lake and Affinity Partners, valued at $55 billion in an all-cash transaction. The deal will take EA private and mark the largest debt-financed acquisition in Wall Street history.
Deal Details
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Shareholders will receive $210 per share in cash, according to CNBC and Bloomberg.
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Trading of EA shares was halted after they rose about 6% in premarket trading, while the stock had already jumped more than 15% last Friday, closing at $193.35, after a Wall Street Journal report indicated the company was close to finalizing the deal.
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The Public Investment Fund will maintain its existing 9.9% stake in EA following the acquisition.
Partner Statements
Jared Kushner, CEO of Affinity Partners and son-in-law of former U.S. President Donald Trump, praised EA’s “bold vision for the future.” In his official statement, he said:
“I have admired their ability to create distinctive and enduring experiences, and as someone who grew up playing their games—and now enjoys them with my children—I cannot help but be incredibly excited for what is ahead.”
Meanwhile, Silver Lake, led by CEO Egon Durban, is also recognized as one of the major investors supporting Trump’s previous efforts to place TikTok’s ownership under U.S. control.
Significance of the Deal
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The acquisition places EA, the publisher of blockbuster franchises such as Battlefield, The Sims, and the Madden NFL series, under a combined umbrella of strategic Saudi and U.S. investments.
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It is the largest debt-financed acquisition in Wall Street history, underscoring the strong confidence in the video game industry as a global growth driver.
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The deal strengthens the Public Investment Fund’s global footprint in the entertainment and technology sectors, aligning with the goals of Saudi Vision 2030.
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