Electronic Arts (EA), the California-based video game powerhouse behind FIFA, The Sims, and Battlefield, has agreed to be acquired by a Saudi-led consortium for $55 billion, marking the largest all-cash private equity buyout in history. The group is led by Saudi Arabia’s Public Investment Fund (PIF) and includes U.S. investment firms Silver Lake and Affinity Partners, the Miami-based firm founded by Jared Kushner.
EA shareholders will receive $210 per share, a 25 percent premium over the stock’s pre-announcement price. The acquisition, financed through $36 billion in equity and $20 billion in debt arranged by JPMorgan Chase, is expected to close in early 2027, pending regulatory and shareholder approvals. Following completion, EA will be delisted from Nasdaq but will remain headquartered in Redwood City, California, under the continued leadership of CEO Andrew Wilson.
PIF, which already holds a 9.9 percent stake in EA, will roll over its investment as part of the deal. In a statement, Wilson praised EA’s global teams, saying the acquisition “will unlock new opportunities on the world stage.” Analysts see the move as a bold bet on gaming’s future. “EA’s combination of live-service revenue, strong franchises, and growing digital ecosystem makes it one of the most resilient players in interactive entertainment,” said Eric Berger, a U.S.-based media analyst.
EA reported $7.5 billion in revenue in its last fiscal year, supported by recurring income from in-game purchases and esports engagement. Going private could allow EA greater flexibility to invest in AI development, cloud gaming, and metaverse technologies without the short-term pressure of quarterly earnings.
For Saudi Arabia, the deal underscores its drive to diversify beyond oil through PIF’s Vision 2030 strategy, which has recently seen multi-billion-dollar investments in gaming, esports, and digital media. While regulatory scrutiny in the U.S. is expected — particularly given the sovereign fund’s role — experts say approval is likely, as similar investments have passed without major obstacles.
The acquisition positions EA at the forefront of the next phase in the global gaming industry: a shift from publicly traded entertainment companies toward sovereign-backed, privately held digital giants — where the race for innovation may matter more than share prices.
