EA strikes $55 billion buyout deal with Saudi-led consortium

[Shawn Knight]

What just happened? Electronic Arts is indeed going private. The video game giant has agreed to be purchased by a consortium of investors including Silver Lake, Affinity Partners, and Public Investment Fund as part of an all cash deal valued at approximately $55 billion.

Per the agreement, existing stockholders will receive $210 in cash per EA share – a 25 percent premium over the stock's closing price of $168.32 on September 25 and even higher than the company's all-time trading high of $179.01 on August 14, 2025. Rumors of a potential buyout surfaced late last week, making September 25 the last fully unaffected trading day. Shares are up nearly five percent in early morning trading on today's announcement.

Saudi Arabia's PIF already owns 9.9 percent of EA, and will roll that stake into the deal. PIF also holds minority stakes in Nintendo, Take-Two Interactive, and Activision Blizzard. With its continued investments in entertainment companies like EA, the kingdom is diversifying its wealth beyond its oil cash cow – a smart move considering its rarely wise to store all of your eggs in one basket. And as highlighted over the weekend, such deals also help polish Saudi Arabia's global image.

EA said it expects the deal to close in Q1 of fiscal year 2027, pending regulatory closing conditions. The company's board has already approved the sale, but shareholders still need to sign off on the transaction. EA will maintain its headquarters in Redwood City, California, and Andrew Wilson will continue to serve as chief executive.

Electronic Arts was founded by Trip Hawkins in 1982, and has helped develop and publish many of the most recognizable franchises in gaming including The Sims and Need for Speed. EA is also responsible for several leading sports titles from leagues like the NFL, the NBA, and the UFC.

The company's next big release, Battlefield 6, is due out in less than two weeks on October 10, but don't expect to find ray tracing support in the PC version.

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EA strikes $55 billion buyout deal with Saudi-led consortium

 

[axiomatic13]

Just uninstalled the EA app. I won't be buying Battlefield 6 or anything else from the Saudis or the Kushners ever again. EA is dead to me.

 

[mgwerner]

Private Equity destroys everything good. They'll have an easy time of it with this purchase, as EA did most of that hard work themselves over the last decade or so.

 

[m4a4]

Not a fan of the Saudi's buying into everything entertainment to whitewash their image with their oil money.

That said, EA has been circling the drain for a while now, trying to squeeze every penny out of their customers in order to please their shareholders.
I don't see how this could be much worse. Maybe they'll stop being so money hungry, or maybe they'll just keep circling.

With the amount of quality indie titles coming out, I'm not worried either way.

 

[axiomatic13]

Not a fan of the Saudi's buying into everything entertainment to whitewash their image with their oil money.

That said, EA has been circling the drain for a while now, trying to squeeze every penny out of their customers in order to please their shareholders.
I don't see how this could be much worse. Maybe they'll stop being so money hungry, or maybe they'll just keep circling.

With the amount of quality indie titles coming out, I'm not worried either way.

It's not oil money. It's Saudi blood money and Kushner slumlord money.

If I could donate $60 to the James Khashoggi estate still, I would.

 

[ScottSoapbox]

Good luck with that EA!

Glad I don't like any of your recent games.

 

[antiproduct]

EA Sports - it's really lame

 

[BuckarooBonzaii]

Perhaps the Saudis are seeing the demise of oil and will diversify into other areas. They're spending big in AI and can see them using AI for game development. They might even change EA's name.

 

[NumberNine]

Couldn't have happened to a better company. Private equity will rip and tear, then crap out whatever is left.

 

[Daniel Sims]

EA will take on $20 billion in debt as part of the ideal. The company expects to make it back through savings from using AI.

 

[daffy duck]

Not a fan of the Saudi's buying into everything entertainment to whitewash their image with their oil money.

That said, EA has been circling the drain for a while now, trying to squeeze every penny out of their customers in order to please their shareholders.
I don't see how this could be much worse. Maybe they'll stop being so money hungry, or maybe they'll just keep circling.

With the amount of quality indie titles coming out, I'm not worried either way.

Spot on. No different that how Big tobacco sponsored so much sport to project image they weren't scumbags and make it difficult to ban them with howls of "the sky will fall" if you stop us sponsoring sport.

Put Saudi Arabia on same footing as Russia, China, Israel, NK, USA, Hungary and Turkey.

 

[AlmightyLoaf]

Never been a better time to be an indie gamer, sheesh. I can wait to find out what these leeches are planning to do to an already-contemptuous corporation.

 

[toooooot]

Put Saudi Arabia on same footing as Russia, China, Israel, NK, USA, Hungary and Turkey.

Some of them are not like the other

 

[lonetac]

Just uninstalled the EA app. I won't be buying Battlefield 6 or anything else from the Saudis or the Kushners ever again. EA is dead to me.

BF 6 is pre ordered, I been playing BF since BF2. This will be my last one and Im with you, no more EA. I dont know which is worse, the Saudis or Kushner but its enough to distance me from them forever.

 

[TempleOrion]

Spot on. No different that how Big tobacco sponsored so much sport to project image they weren't scumbags and make it difficult to ban them with howls of "the sky will fall" if you stop us sponsoring sport.

Put Saudi Arabia on same footing as Russia, China, Israel, NK, USA, Hungary and Turkey.

The US should be first on that list...