Saudi Public Investment Fund Close to Completing Acquisition of US-based EA

A consortium led by Saudi Arabia’s Public Investment Fund (PIF) is nearing approval from the European Union for its $55 billion acquisition of American video game developer Electronic Arts. The European Commission is expected to give the green light to the deal before the end of July, either under foreign subsidy rules or competition rules, without imposing conditions or remedial measures. The consortium also includes Affinity Partners, owned by Jared Kushner, alongside Silver Lake, in what would be the largest leveraged buyout in history. Shareholders of Electronic Arts, one of the world’s largest video game companies, have approved the sale of the company for $55 billion to an international investment consortium led by Saudi Arabia’s Public Investment Fund. Shareholders approved the acquisition offer at $210 per share. The Public Investment Fund has held a stake of approximately 9% in EA since last year, making it one of the largest shareholders. A report released earlier indicated that the Public Investment Fund would acquire about 93.4% of Electronic Arts’ shares, with Silver Lake holding 5.5%, Affinity Partners 1.1%, and the Fund is expected to pay around $29 billion to secure its controlling stake. The Fund also holds significant investments in global gaming companies such as Nintendo, Take-Two, Activision Blizzard, Capcom, and Koei Tecmo through its investment arm, Savvy Games Group. EA was founded in the 1980s and went public on the Nasdaq stock exchange in 1990, reaching a market capitalization of $1.61 billion by 1996, before evolving into one of the pillars of the global gaming industry today. The deal is expected to be completed in the first quarter of 2027, pending necessary approvals.