Saudi Arabia’s PIF Consortium Acquires EA for $55bn

In a landmark move for the global gaming and tech sectors, a consortium led by Saudi Arabia’s Public Investment Fund (PIF), along with US-based Silver Lake and Affinity Partners, has announced a historic $55 billion acquisition of Electronic Arts (EA), the publisher behind global franchises such as FIFA (now EA Sports FC), The Sims, and Apex Legends.

This marks the largest-ever all-cash leveraged buyout, and also one of the biggest M&A deals of 2025. The acquisition, structured as a take-private transaction, positions the PIF-led group at the heart of the interactive entertainment industry and reflects the Gulf’s growing ambitions in global tech and media assets.

Impact for GCC, global gaming

Under the agreement, the investor group will buy 100% of EA for $210 per share — a 25% premium on its recent stock price. Saudi Arabia’s PIF will roll over its existing 9.9% stake as part of the acquisition. The deal, expected to close in Q1 FY27, will see EA delisted from public markets and continue to operate privately under CEO Andrew Wilson from its California headquarters.

The acquisition provides a powerful launchpad for the consortium to expand influence across gaming, esports, and digital entertainment — industries where GCC nations, particularly Saudi Arabia and the UAE, are aggressively investing as part of their economic diversification strategies.

“PIF is uniquely positioned in global gaming and esports, connecting fans, developers, and IP creators,” said Turqi Alnowaiser, Deputy Governor and Head of International Investments at PIF. “This partnership will further drive EA’s long-term growth while fuelling innovation across the industry.”

Why this matters to the GCC

The Saudi PIF has been on a mission to build a globally competitive gaming and entertainment ecosystem. The EA acquisition — following previous high-profile investments such as the $4.9 billion purchase of mobile game developer Scopely (publisher of Monopoly Go!) via its gaming arm Savvy Games Group — cements PIF’s growing control over influential content platforms.

This also aligns with Vision 2030, which sees entertainment, sports, and tech as strategic pillars of Saudi Arabia’s future economy. The UAE, too, has shown interest in these sectors, with a number of Dubai and Abu Dhabi-based funds expanding their exposure to gaming and immersive technologies.

Why EA? Long-term revenue play

For the investor group, EA offers stable cash flow and a loyal user base anchored by annual best-sellers like Madden NFL and EA Sports FC. Going private will allow EA to focus on long-term product innovation without quarterly earnings pressures — a formula that aligns well with PIF’s patient capital strategy.

“Our creative teams have built some of the most iconic gaming experiences in the world,” said EA CEO Andrew Wilson. “With the support of our new partners, we are ready to unlock the next generation of entertainment.”

EA reported $7.5 billion in revenue in fiscal 2025 and had seen its share price climb 15% this year ahead of the deal, buoyed by early buzz around its upcoming Battlefield 6 title set for release in October.

Political, regulatory implications

The deal will be financed through $36 billion in equity and $20 billion in debt, with JP Morgan Chase leading the debt syndication. It also showcases renewed appetite for mega-deals under a business-friendly US regulatory climate, especially with the involvement of Affinity Partners — the private equity firm led by Jared Kushner, which has backing from Middle Eastern investors.

As with most cross-border deals involving sovereign capital, the acquisition will undergo regulatory reviews — though industry analysts expect a smooth clearance, given EA’s relatively non-sensitive consumer business.

What’s next for GCC gaming?

The deal signals a new chapter in the GCC’s evolving position not just as a consumer of content, but as a global investor and operator in digital entertainment. With more than $38 billion committed by Saudi Arabia to gaming alone — and the UAE stepping up its tech investments — this move could set a precedent for more blockbuster acquisitions led by regional funds.

Story by Gulf News