Video Gaming Giant Electronic Arts Acquired in Historic $55 Billion Deal

Sun Dec 07 2025 09:10:12 GMT+0200 (Eastern European Standard Time)

Electronic Arts, a leader in the gaming industry, has been purchased in an unprecedented $55 billion deal backed by Saudi Arabia’s Public Investment Fund, among other investors.

Electronic Arts (EA), known for iconic franchises like FIFA and The Sims, has agreed to a historic $55 billion acquisition deal, marking the largest leveraged buyout in history. The acquisition involves significant financing through loans and is seen as a significant move for Saudi Arabia to expand its influence in the global gaming sector. EA's management recognizes the potential to innovate and create transformative gaming experiences in the future.

Electronic Arts (EA), one of the biggest gaming companies in the world, has agreed a deal to sell the company for $55bn (£41bn).

The consortium of buyers include Saudi Arabia's Public Investment Fund (PIF), Silver Lake and Jared Kushner's Affinity Partners.

EA is known for making and publishing best-selling games such as EA FC, formerly known as Fifa, The Sims and Mass Effect.

It is understood to be the largest leveraged buyout in history - where a significant amount of the purchase is financed by borrowing money.

The deal will take EA private - meaning all of its public shares will be purchased and it will no longer be traded on a stock exchange.

The purchase price puts a significant 25% premium on the market value of EA, valuing it at $210 per share.

It is the second most valuable gaming purchase in history, following Microsoft's $69bn deal to buy Call of Duty publisher Activision Blizzard - which went through after significant battles with global regulators, with the UK concerned it may damage competition.

In the end, the deal was only approved after Microsoft handed the rights to distribute the firm's games on consoles and PCs over the cloud to Assassin's Creed-maker Ubisoft.

EA boss Andrew Wilson, who will remain in post, said it was a powerful recognition of the firm's work.

Together with our partners, we will create transformative experiences to inspire generations to come, he said.

The firms buying EA will contribute approximately $36bn, with the remaining amount being financed by loans.

EA has been open to a potential buyer to help level up for a while, industry expert Christopher Dring told the BBC.

Several industry experts have expressed concerns regarding this acquisition potentially leading to increased debt, which could affect EA's funding for new games and overall operational efficiency.

Saudi Arabia has made significant investments in the gaming industry over recent years, marking a clear intent to expand its influence in this lucrative sector.

As with any major acquisition, the dynamics of this purchase will shape the future landscape of the gaming industry and its operations.