The gaming giant Electronic Arts has officially closed the $55 billion acquisition deal with Saudi Arabia's Public Investment Fund, marking the largest leveraged buyout in commercial history. The transaction, announced in September 2025, was finalized after European regulatory approval in July. EA shareholders will receive $210 per share, a 25% premium over the pre-announcement price. With the move to private ownership, EA will no longer be publicly traded, reducing financial transparency. CEO Andrew Wilson will remain in his role, but his future is uncertain. Wilson, in office since 2013, has overseen massive growth, but in the last fiscal year he earned $38 million while the company conducted layoffs, including developers of Battlefield 6.
Sponsored Protocol
The acquiring consortium and debt concerns
The Saudi PIF acquired EA alongside Affinity Partners, led by Jared Kushner, and investment firm Silver Lake. Silver Lake's co-CEO, Egon Durban, previously served on Unity's board. The deal includes billions in debt for EA, raising concerns about massive cost-cutting, studio closures, and game cancellations. Nothing has been officially confirmed yet, but analysts predict workforce rationalization to address the debt. PIF has already invested in Scopely (Monopoly Go) and Niantic's gaming division (Pokémon Go), demonstrating an aggressive strategy in the sector.
Protests and developer concerns
BioWare developers fear being among the first to face cuts, given the studio's reputation for inclusive and progressive games. Writer Patrick Weekes, laid off in 2025, speculated that new owners might avoid LGBTQ+ content and political themes not favored by Saudi leadership. The Sims teams have also expressed concerns. In protest, some cosplayers raided EA's California headquarters. These tensions highlight the clash between EA's corporate culture and the new owner's sensibilities.
Sponsored Protocol
The final earnings report and the private future
EA's last quarterly report, released on August 3, showed revenue growth to $1.35 billion in net bookings, driven by extra content for Apex Legends and Battlefield 6 sales, but below analyst estimates. With privatization, financial reports will no longer be public. Some experts see opportunities: Fiona Sperry, former head of Criterion Games, argues that a private company could free itself from quarterly pressure and focus on innovation and creative risks. However, accumulated debt and investor demands may still impose strict targets. The history of leveraged buyouts is not encouraging for acquired companies, as Mat Piscatella of Circana notes. Additionally, the increased use of AI to cut development costs could accelerate, as reported by the Financial Times. The future of EA is uncertain, but one thing is clear: the gaming landscape has changed forever.
Sponsored Protocol
Source: https://www.gamespot.com/articles/ea-has-officially-been-sold-and-what-comes-next-could-be-painful
