An investment group led by Saudi Arabia completed the $55 billion purchase of American video game publisher Electronic Arts (EA), as per official announcements and industry reports.
The agreement, which makes the publisher behind significant franchises like EA Sports FC, the Sims, and Mass Effect privately held, signifies the largest leveraged buyout ever and the second-most substantial acquisition in gaming history, following Microsoft's $69 billion purchase of Activision Blizzard.
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As per the deal's conditions, the acquiring group, spearheaded by Saudi Arabia's Public Investment Fund (PIF) in conjunction with Affinity Partners, contributed $36 billion in equity and obtained $20 billion in debt financing from JPMorgan to finalize the acquisition.
The investor consortium, featuring Affinity Partners, the private equity firm established by President Donald Trump's son-in-law Jared Kushner, will privatize EA by purchasing all remaining publicly traded shares, thereby concluding the company's stock market presence.
EA Chief Executive Officer Andrew Wilson, who will keep his role after the privatization, stated that the company aims to "develop transformative experiences to inspire future generations" with the new ownership configuration.
The deal has attracted attention from market analysts and advocacy organizations regarding the possible effects of significant debt management on EA's operational approach, along with worries about artistic liberty and content regulation in the company's key game franchises.
Under the control of the Saudi government, the $514 billion PIF has increased its involvement in sports and entertainment lately, which includes purchasing the Premier League football club Newcastle United and organizing global esports events. Saudi Arabia has consistently increased its investments in the international gaming sector as a component of its Vision 2030 plan to broaden the economy beyond oil.
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PIF currently owns shares in various prominent gaming firms, such as Nintendo and Capcom, and has put money into esports, game publishing, and global gaming events as it aims to establish the kingdom as a worldwide gaming center.
Although the company has encountered numerous setbacks common in the industry in recent years, including layoffs and game cancellations, it has demonstrated robust financial performance lately.
Last year, EA amassed $7.5 billion in revenue, and the October launch of Battlefield 6 set franchise records by selling more than 7 million copies within its initial three days. Regardless, further layoffs for the teams affected ensued. From the £300m purchase of Premier League team Newcastle United to acquiring four football clubs in the Saudi League, PIF's funds have primarily been utilized to support major sports projects and expand its presence in that domain.
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In the intersection of gaming and sports, Saudi Arabia has also held significant esports competitions, such as the Esports World Cup in 2025. However, these large acquisitions have frequently faced allegations of sportswashing—supporting or organizing sports events to create a favorable public perception and divert focus from human rights concerns.
Although the Saudi Arabian government has spent years rejecting these allegations, Osborn stated that the EA agreement might offer another method for it to showcase its influence.