Electronic Arts Inc. (EA) has agreed to be acquired by an investor consortium consisting of Saudi Arabia's Public Investment Fund (PIF), Silver Lake, and Affinity Partners in a deal valued at approximately US$55 billion. The transaction, announced September 30, 2025, marks the largest all-cash sponsor-led take-private investment to date.
Deal structure delivers premium to shareholders
According to a press release, the consortium will acquire 100% of EA, with PIF rolling over its existing 9.9% stake. EA shareholders will receive US$210 per share in cash, representing a 25% premium to EA's unaffected closing share price of US$168.32 on September 25, 2025. The deal also exceeds the company's previous all-time high of US$179.01 per share recorded in August 2025.
The transaction will be funded by US$36 billion in equity from the consortium members and US$20 billion in debt financing fully committed by JPMorgan Chase, of which US$18 billion will be funded at closing. Once completed, EA's stock will be delisted from public markets, and the company will remain headquartered in Redwood City, California, with Andrew Wilson continuing as CEO.
Sovereign wealth meets gaming's growth trajectory
The acquisition highlights the increasing role of sovereign wealth and private equity investors in the gaming sector. EA, with fiscal 2025 GAAP net revenue of about US$7.5 billion, is known for franchises including EA Sports FC, Madden NFL, Apex Legends, Battlefield, and The Sims. PIF has made gaming a strategic investment priority, while Silver Lake and Affinity Partners bring global investment portfolios across technology, media, and entertainment.
The deal remains subject to shareholder and regulatory approvals and is expected to close in the first quarter of EA's fiscal year 2027. Advisors to the transaction include Goldman Sachs for EA and J.P. Morgan Securities for the consortium, with multiple law firms engaged across both sides.
EA has also announced it will release second-quarter fiscal 2026 results via press release on October 28, 2025, without holding its customary earnings call, citing the pending acquisition.
Article edited by Jerry Chen
