EA officially announces that they’re going private after selling their company to Saudi Arabia’s PIF, Silver Lake and Affinity Partners
Electronic Arts has released an official Press Release just now after concerning rumors that went out this weekend. The rumors of EA going private for $50 billion have been confirmed today, with private investors including Saudi Arabia’s PIF fund, Jared Kushner’s Affinity group and Silver Lake.
The entire Electronic Arts brand and its catalogue, including The Sims Franchise, have been sold to private investors for $55 billion.
As noted in the official Press Release, the deal will close through and be finalized in Q1 FY2027. The private investors will have ownership of Electronic Arts and its franchises starting January 1st, 2027.
We report the full press release from EA in full:
REDWOOD CITY, Calif.–(BUSINESS WIRE)– Electronic Arts Inc. (NASDAQ: EA) (“EA” or the “Company”), a global leader in interactive entertainment, today announced that it has entered into a definitive agreement to be acquired by an investor consortium (“the Consortium”) comprised of PIF, Silver Lake, and Affinity Partners in an all-cash transaction that values EA at an enterprise value of approximately $55 billion. The transaction positions EA to accelerate innovation and growth to build the future of entertainment.
Under the terms of the agreement, the Consortium will acquire 100% of EA, with PIF rolling over its existing 9.9% stake in the Company. EA stockholders will receive $210 per share in cash. The per share purchase price represents a 25% premium to EA’s unaffected share price of $168.32 at market close on September 25, 2025, the last fully unaffected trading day, and a premium to EA’s unaffected all-time high of $179.01 at market close on August 14, 2025.
PIF, Silver Lake, and Affinity Partners bring deep sector experience, committed capital, and global portfolios with networks across gaming, entertainment, and sports that offer unique possibilities for EA to blend physical and digital experiences, enhance fan engagement, and create new growth opportunities. The transaction represents the largest all-cash sponsor take-private investment in history, with the Consortium partnering closely with EA to enable the Company to move faster and unlock new opportunities on a global stage.
“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 & CEO of Electronic Arts. “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.”
“PIF is uniquely positioned in the global gaming and esports sectors, building and supporting ecosystems that connect fans, developers, and IP creators,” said Turqi Alnowaiser, Deputy Governor and Head of International Investments at PIF. “PIF has demonstrated a strong commitment to these sectors, and this partnership will help further drive EA’s long-term growth, while fueling innovation within the industry on a global scale.”
“This investment embodies Silver Lake’s mission to partner with exceptional management teams at the highest quality companies. EA is a special company: a global leader in interactive entertainment, anchored by its premier sports franchise, with accelerating revenue growth and strong and scaling free cash flow. We are honored to invest and partner with Andrew – an extraordinary CEO who has doubled revenue, nearly tripled EBITDA, and driven a fivefold increase in market cap during his tenure,” said Egon Durban, Co-CEO and Managing Partner of Silver Lake. “The future for EA is bright, we are going to invest heavily to grow the business and we are excited to support Andrew and the EA team as the company accelerates innovation, expands its reach worldwide, and continues to deliver incredible experiences to players and fans across generations.”
“Electronic Arts is an extraordinary company with a world-class management team and a bold vision for the future. I’ve admired their ability to create iconic, lasting experiences, and as someone who grew up playing their games - and now enjoys them with his kids – I couldn’t be more excited about what’s ahead,” said Jared Kushner, Chief Executive Officer of Affinity Partners.
“The Board carefully evaluated this opportunity and concluded it delivers compelling value for stockholders and is in the best interests of all stakeholders,” said Luis A. Ubiñas, Lead Independent Director of EA’s Board of Directors. “We are pleased that this transaction delivers immediate and certain cash value to our stockholders while strengthening EA’s ability to continue building the communities and experiences that define the future of entertainment.”
Transaction Details
The transaction was approved by EA’s Board of Directors, is expected to close in Q1 FY27 and is subject to customary closing conditions, including receipt of required regulatory approvals and approval by EA stockholders. Following the close of the transaction, EA’s common stock will no longer be listed on any public market.
The transaction will be funded by a combination of cash from each of PIF, Silver Lake, and Affinity Partners as well as roll-over of PIF’s existing stake in EA, constituting an equity investment of approximately $36 billion, and $20 billion of debt financing fully and solely committed by JPMorgan Chase Bank, N.A., $18 billion of which is expected to be funded at close. Each of PIF, Silver Lake, and Affinity Partners plan to fund the equity component of the financing entirely from capital under their respective control.
Upon completion of the transaction, EA will remain headquartered in Redwood City, California and continue to be led by Andrew Wilson as CEO.
Advisors
Goldman Sachs & Co. LLC is serving as EA’s financial advisor and Wachtell, Lipton, Rosen & Katz is serving as EA’s legal advisor.
Kirkland & Ellis LLP is serving as legal counsel to the Consortium. Kirkland & Ellis LLP is serving as lead legal counsel for PIF with specialized counsel from Gibson, Dunn & Crutcher LLP. Latham & Watkins LLP and Simpson Thacher & Bartlett LLP are serving as Silver Lake’s legal counsel. Sidley Austin LLP is serving as Affinity Partners’ legal counsel.
J.P. Morgan Securities LLC is serving as financial advisor to the Consortium.
As a result of this announcement, for its Q2 FY26 earnings release scheduled for October 28, 2025, EA will release financial and operational results through a press release and will not hold a conference call or webcast.
As noted in the official Press Release, Andrew Wilson will remain the CEO of Electronic Arts. With the main headquarters of EA still being in Redwood City, California.
There’s currently no information if there are going to be organizational changes within seperate game studios. Including Maxis for The Sims Franchise.
We’ll be talking more about this acquisition in the following days. Until then, we have enough concerns and reasons why this acquisition could be a very bad thing.
What a fucking tragedy. I’m not really surprised because of course it’s all about money. Genuinely wish Maxis could separate from EA and be its own thing.
Well, it’s been a fun ride everyone. This feels like the Titanic going down. If the merger happens in 2027, I hope we get some good stuff in 2026, but likely anything controversial will be censored.
What a nightmare, don’t forget that this deal is leveraged with $20 billion of debt, so there are gonna be extreme cost-cutting measures. I wouldn’t be surprised if entire studios are closed.
well that’s the end of the sims for me. they’ll never get another dime out of me.
Off to Inzoi I go very disappointed in the sims been playing since they came out. They have really went down the drain and money hungry. So sad
remember: all the money you put into the sims dlcs moving forward will go to companies who support and fund the imprisioment and demise of lgbtq people, women and palestinian people, the sims is now owned by conservative companies, all the money you put into the game goes 100% to the hands of these people.
Google and Microsoft were responsible for censoring Palestinian news. You guys really need to put effort if you feel the way you do. Your in America companies are also supporting weapons, prejudice against POC, and the LGBTQ+
If you’re unable to see the responsibilities of your white companies and it’s only an issue now I have to ask where you’ve been?
Well I’m ready for that Muslim simulator that you all fear will happen. In all seriousness though do we really expect anything of EA?
This company was already an investor in many games including Nintendo. Remember that EA is the ones at fault. Them alone as an American company have preyed on marginalized groups. Their approach to addressing our concerns about self-identity and culture is capitalistic. It’s always been about money. They gather info about our interests and lifestyles through the game and only if they can make a sell will they give us better ways to represent ourselves. It was never about inclusion or actually being seen by a company that cares.
But yeah nice to see us not get ahead of ourselves with what we think we know about the situation. The previous round of this on here was messy and commenters love being racist with their sensationalist take on gaming news.