A recent report has been proven correct, and publisher Electronic Arts (EA) is indeed going private.
The $55 billion deal — the Monday press release boasts that it’s the largest all-cash leveraged buyout ever — is being backed by three major investors, with American private equity firm Silver Lake joining American investment firm Affinity Partners, as well as Saudi Arabian investment firm PIF, in funding the venture.
Altogether, the three firms are committing $36 billion, in addition to the PIF’s existing stake in EA. The venture is additionally being funded by $20 billion in debt, financed by JPMorgan Chase Bank.
“Our creative and passionate teams at EA have delivered extraordinary experiences for hundreds of millions of fans, built some of the world’s most iconic IP, and created significant value for our business. This moment is a powerful recognition of their remarkable work,” said Andrew Wilson, chairman and CEO of EA.
“Looking ahead, we will continue to push the boundaries of entertainment, sports, and technology, unlocking new opportunities. Together with our partners, we will create transformative experiences to inspire generations to come. I am more energized than ever about the future we are building.”
Egon Durban, co-CEO of Silver Lake, added that EA is “anchored by its premier sports franchise,” and noted that “we are going to invest heavily to grow the business” in order to expand EA’s reach.
The deal has to go through standard regulatory procedures and is currently expected to close at some point in Q1 2027. Andrew Wilson is expected to stay on as CEO following the completion of the deal.
Affinity Partners and the PIF are already heavily involved with each other
Affinity Partners, which was not named in the initial report on the impending deal, is helmed by Jared Kushner, the son-in-law of current U.S. President Donald Trump — Saudi Arabian backers, including the aforementioned PIF, heavily fund Affinity Partners.
The PIF itself is led by Saudi Arabian Crown Prince Mohammed bin Salman, who owns Fatal Fury developer SNK. Salman is a video game and sports enthusiast, pushing for deals that help expand Saudi Arabian influence in entertainment.
Salman was also widely reported to be responsible for ordering the assassination of Washington Post journalist Jamal Khashoggi in 2018.
EA has cut hundreds of workers and canceled games this year
This deal comes as EA has been cutting significant numbers of workers earlier in the year.
At the start of the year, BioWare was gutted, with fewer than 100 developers remaining at the studio known for Dragon Age and Mass Effect, with many laid off or moved to other projects.
EA laid off hundreds in April, including developers at Respawn Entertainment, while canceling a Titanfall incubation project. In May, the cuts continued, with EA shuttering developer Cliffhanger Games and canceling the Black Panther game the team was working on.
What does EA have on the horizon?
Four of EA’s studios have been working for years on the upcoming Battlefield 6, which is slated to launch on October 10.
Outside of Battlefield, EA’s primary focus remains on its annual sports franchises, including Madden NFL and EA Sports FC, though the company is also working on some other titles.
Respawn Entertainment is continuing work on a third entry in the Star Wars Jedi action-adventure series, while the developer is also assisting an external team, Bit Reactor, with work on Star Wars Zero Company, a turn-based tactics title set to launch at some point in 2026.
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