**Electronic Arts Acquired in Historic $55 Billion Leveraged Buyout**

*By Akash Pandey | Sep 30, 2025, 01:24 AM*

Electronic Arts (EA), the renowned video game developer behind popular titles such as Madden NFL, Battlefield, and The Sims, is set to be acquired for an astounding $55 billion. This deal is poised to become the largest leveraged buyout in history, with a significant portion of the acquisition financed through debt.

### The Consortium Behind the Acquisition

The group of buyers includes Saudi Arabia’s sovereign wealth fund, Public Investment Fund (PIF), private equity firm Silver Lake, and Affinity Partners—led by Jared Kushner, son-in-law of former US President Donald Trump.

—

### Deal Details: EA Going Private

If the acquisition proceeds as expected, EA’s 36-year tenure as a publicly traded company will come to an end. The game publisher will no longer be listed on the stock exchange.

The purchase price represents a substantial 25% premium over EA’s current market value, with shareholders receiving $210 per share.

EA’s CEO, Andrew Wilson, who has been at the helm since 2013, will retain his position following the acquisition. Additionally, the company’s headquarters will remain in Redwood City, California.

—

### Industry Context: Second Largest Gaming Acquisition in History

This acquisition will become the second-largest gaming purchase ever, trailing only Microsoft’s $69 billion acquisition of Activision Blizzard, the publisher of Call of Duty.

Microsoft’s deal faced intense regulatory scrutiny worldwide, with UK authorities warning that it might undermine competition. Approval was eventually granted only after Microsoft agreed to transfer cloud distribution rights for Activision’s console and PC titles to Ubisoft, the developer behind Assassin’s Creed.

—

### Market Influence: EA’s Role and Saudi Arabia’s Gaming Investments

EA has been a dominant force in the gaming industry for over four decades, producing some of the most successful game franchises in history. Its football game series alone has sold 325 million copies since its debut in 1993.

For Saudi Arabia, this acquisition represents a significant milestone in its broader efforts to expand its footprint in the gaming sector. The kingdom has previously invested in gaming companies like Niantic and has hosted major esports tournaments to bolster its presence.

—

### Industry Impact: Concerns Over Debt and Workforce

The buyers are expected to contribute $36 billion in equity, with the remaining amount financed through loans, primarily provided by JPMorgan Chase. Industry experts have expressed concern that the deal could saddle EA with approximately $20 billion in debt.

There are also worries about potential job cuts as private investors may push for increased cash flow to service this hefty debt. EA recently reduced its workforce by about 5% in 2024, followed by several hundred layoffs earlier this year.

—

### What’s Next? Timeline and Outlook

The deal is anticipated to close in the first quarter of 2027, pending approval from EA shareholders.

Going private will grant EA the flexibility to restructure without the pressures and scrutiny that come with being publicly traded, where companies often focus on short-term quarterly results.

Despite its loyal fanbase, EA’s annual revenue has remained relatively flat over the last three fiscal years, fluctuating between $7.4 billion and $7.6 billion.

—

This acquisition marks a transformative chapter for EA and reflects the evolving landscape of the gaming industry and investment trends globally.
https://www.newsbytesapp.com/news/business/video-game-maker-electronic-arts-acquired-for-55b/story