Saudi Arabia’s Private Investment Fund Closes $55 Billion Acquisition of EA

Electronic Arts Inc has announced the closure of its acquisition by Saudi Arabia’s Private Investment Fund, Silver Lake and Affinity Partners for a reported $55 billion.

It follows an initial agreement to purchase the digital entertainment company, which was announced in September 2025, and the formal approval of the deal by EA stockholders in December last year.

EA, which owns game trademarks such as EA SPORTS FC, Battlefield, Need for Speed, Apex Legends, The Sims, Dragon Age, Titanfall, and Plants vs. Zombies, is headquartered in Redwood City, California. In fiscal year 2026, the company generated net revenue of $7.5 billion.

The investors are taking EA private, therefore, all of its public shares will be bought, and the company will no longer trade on the NASDAQ stock exchange for the first time in 36 years. Shareholders will receive $210 in cash per share.

Believed to be the largest leveraged buyout in the esports space, PIF has reportedly contributed $36 billion to the transaction, but will need to borrow $20 billion from investment banking firm J.P. Morgan to complete the deal, according to the BBC. It is expected that EA will take on the debt, but it is not yet clear how it will pay this back.

“This moment recognizes the extraordinary people whose creativity, ambition, and passion have made EA one of the world’s leading interactive entertainment companies,” said Andrew Wilson, chairman and CEO of Electronic Arts, who will continue in his role. “We’re entering this next chapter from a position of strength with partners who share our vision and ambition. Together, we’ll invest boldly, accelerate innovation, and build the next generation of games and experiences for the hundreds of millions of players and fans who inspire us every day.”

Saudi Arabia’s Growing Interest in Esports

Created in 1971, PIF is the sovereign wealth fund of Saudi Arabia, controlled by prince Mohammed bin Salman and with total assets estimated to be worth $900 billion.

Saudi Arabia has shown an increasing interest in esports in recent years, with PIF funding and hosting the Esports World Cup in the Kingdom. However, its 2026 edition was moved to Paris, France, due to the geopolitical tensions and travel concerns in the Middle East.

Last October, though, the International Olympic Committee canceled a 12-year agreement with Saudi Arabia to host the inaugural Olympic Esports Games in Riyadh in 2027 following an “internal review.” Instead, the IOC said that it would develop a new approach to the Olympic Esports Games, including pursuing a new partnership model with another host country.

Meanwhile, Saudi Arabia’s Event Investment Fund and Legends Global announced a joint venture in December. They agreed to work together on projects within Saudi Arabia for exhibition and convention centers and entertainment venues to host world-class tourism and sports events, while supporting the goals of Saudi Vision 2030, the government blueprint aimed at welcoming 150 million visitors to the Kingdom by 2030.

PIF has also invested in four soccer teams in the Saudi Pro League (Al-Nassr, Al-Hilal, Al-Ittihad, and Al-Ahli) and English Premier League club Newcastle United, which it bought for more than $400 million in 2021.

“Having been a minority investor in the company for more than five years, we have a deep understanding of EA’s unique platform, massive global sports and gaming franchises, and iconic IP,” said Turqi Alnowaiser, deputy governor and head of international investments at PIF. “Entertainment and sports are key areas of strategic focus for PIF, and are among the fastest-growing and evolving sectors around the world. Together, the Consortium is uniquely positioned to be a long-term partner to EA’s management team in driving sustained growth and innovation for EA and the industry.”

Investment

Investment firms Silver Lake and Affinity Partners supported PIF in the acquisition of EA.

Affinity Partners was founded by Jared Kushner, the son-in-law of President Donald Trump. His brother is Joshua Kushner, the founder of venture capital firm Thrive Capital, who backed FIFA President Gianni Infantino‘s proposals to sell FIFA assets to private investors before they fell through due to public pressure.

“EA has created stories, characters, and communities that have become part of everyday life for hundreds of millions of people,” said Affinity Partners CEO Jared Kushner. “We’re excited to support the company as it continues to reach new audiences, inspire the next generation of creators, and expand the ways people around the world connect through play.”

“EA’s franchises are some of the most beloved in entertainment, combining exceptional creative talent with a relentless focus on players,” said Silver Lake CEO and managing partner Egon Durban. “As long-term investors in technology, we admire how EA’s innovation fuels imagination and human connection.

“We’re proud to join with PIF and Affinity Partners to invest heavily in EA’s growth, including what AI can do to enhance game development and player experience, and excited to partner with Andrew and the EA team as they raise the bar for fans everywhere.”

Public Scrutiny

The deal to sell EA to PIF has generated some concern among the company’s community of players. This is primarily centered around Saudi Arabia’s stance on banning same-sex marriage and LGBTQI+ relationships, which are championed by games like The Sims, which is owned by EA.

“Video games are a reflection of culture and people through their storylines, characters and representation,” said UK-based advocacy group Players Alliance HQ in a statement via its ‘Block the Deal’ campaign, which urged gamers to speak out publicly against the deal.

“With the PIF being the majority owner in the potential buyout, there is a large concern that creative decisions could be influenced by these outside factors, leading to themes such as free speech, gender, LGBTQI+ and other aspects of Western politics being reduced or fully censored across major franchises.”
And despite a strong recent financial performance, there are also fears that EA may be forced to carry out more layoff rounds to finance the debt it now owes following the transaction.