Global Corporations in the Grip of Economic Shifts: The Acquisition of Electronic Arts and Its Political Context
A significant transformation is unfolding in the world of entertainment and the video game industry: one of the largest players, American company Electronic Arts (EA), known worldwide for titles like FIFA, Battlefield, The Sims, and Madden NFL, is preparing for privatization.
The deal involves a consortium of international investors, led by representatives from Saudi Arabia, the United States, and other nations.
This consortium, which includes the Saudi Public Investment Fund (PIF), American investment firm Silver Lake, and the investment firm Affinity Partners—founded by Jared Kushner, son-in-law of former U.S.
President Donald Trump—is set to complete an acquisition worth $55 billion.
This stands as the largest deal in the history of the global entertainment industry, highlighting a new level of private investment engagement in the sector.
Under the terms, EA’s shareholders will receive $210 per share, a 25% premium over the pre-deal market price.
The financing structure combines equity and debt, including a $20 billion loan arranged by JPMorgan Bank.
Following the transaction, EA will be delisted from the stock exchange, with existing management, including CEO Andrew Wilson, remaining at the helm.
Industry experts believe that the private status will allow EA to operate more flexibly, invest strategically without quarterly reporting pressures, and focus on developing innovative games.
This significant deal also underscores Saudi Arabia’s strategic intent to boost investments in digital entertainment and technology sectors as part of its economic diversification program.
Notably, the presence of Affinity Partners, Jared Kushner’s firm, injects a political dimension that may spark discussions in Washington.
The approval of shareholders and regulators is still pending, with an expected completion in the first quarter of 2027.
Upon closing, control of one of the world’s leading gaming companies will shift to a private entity, potentially reshaping the industry landscape and marking a new era in the global economy.