Electronic Arts has just made a big announcement – they are being bought out by a group of investors for a massive $55 billion! The investors include the PIF (Saudi Arabia’s Public Investment Fund), Silver Lake, and Affinity Partners. This deal is set to close in the first quarter of fiscal year 2027. The news was confirmed today after a report from Bloomberg’s Jason Schreier last week. EA is known for their popular sports titles, The Sims, Battlefield, and for publishing BioWare’s Dragon Age and Mass Effect series’.
The deal consists of an equity investment of $36 billion and a $20 billion debt in EA’s name. This could potentially lead to layoffs, more monetization, and cost-cutting measures, according to Schreier. Andrew Wilson, the Chairman & CEO of Electronic Arts, expressed his excitement about the future, stating that they will continue to push the boundaries of entertainment, sports, and technology. He believes that this partnership will create transformative experiences that will inspire generations to come.
The PIF, which already owned 9.9% of EA, is the third-largest institutional owner of the company. They also have stakes in other gaming companies like Nintendo, Capcom, Embracer Group, and Take-Two Interactive. Turqi Alnowaiser, the PIF’s Deputy Governor and Head of International Investments, emphasized the commitment to the gaming and esports sectors and how this partnership will drive EA’s long-term growth and fuel innovation on a global scale. Silver Lake, a company potentially involved with TikTok’s US spin-off, and Affinity Partners, an investment firm founded by Jared Kushner, the current US President’s son-in-law, are also part of the group of investors. The future looks bright for EA as they embark on this new chapter with their partners.
Overall, this acquisition marks a significant moment in the gaming industry. The partnership between Electronic Arts and the group of investors opens up new possibilities for growth and innovation. The impact of this deal on the gaming community and the industry as a whole remains to be seen. Electronic Arts, under the leadership of Andrew Wilson, is poised to continue delivering exceptional experiences for fans worldwide. Only time will tell what the future holds for this gaming giant.
