Electronic Arts Inc. (NASDAQ: EA), one of the world’s most recognized video game publishers, is set to go private in a record-breaking $55 billion transaction led by Saudi Arabia’s Public Investment Fund (PIF), Silver Lake Management, and Affinity Partners. The deal, valued at $210 per share in cash, marks the largest leveraged buyout in history and underscores the growing influence of Middle Eastern sovereign wealth funds in global entertainment and technology.
Months before the transaction was finalized, Jared Kushner, founder of Affinity Partners and son-in-law to former President Donald Trump, played a behind-the-scenes role connecting Electronic Arts to PIF. Affinity, which manages about $5.4 billion in assets backed by Saudi, Emirati, and Qatari investors, will hold a minority stake in the deal, while PIF will secure a controlling interest. JPMorgan Chase is backing the agreement with a $20 billion loan facility.
For EA, the move into private ownership comes at a time of intensifying competition in the gaming industry. As rivals consolidate and diversify into esports, mobile, and immersive digital experiences, EA gains access to deep-pocketed partners willing to finance ambitious growth. The backing from PIF aligns with Saudi Arabia’s Vision 2030 strategy, which seeks to diversify the kingdom’s economy and establish the country as a hub for video games and esports.
The deal, however, is not without hurdles. The Committee on Foreign Investment in the United States (CFIUS) must review the takeover to assess potential national security implications of foreign ownership. While the Biden administration previously subjected Middle Eastern investment to heightened scrutiny, the Trump administration has signaled a more accommodating approach, developing a fast-track review process for allied nations. Approval outcomes could include unconditional clearance, approval with restrictions, or an outright block — though expectations are that the deal will move forward.
Industry observers note that the buyout has far-reaching implications beyond gaming. It highlights how sovereign wealth funds are increasingly shaping global dealmaking, moving from passive equity stakes into direct ownership of high-profile consumer brands. PIF’s growing presence across sports, media, and entertainment reflects a broader strategy to integrate cultural and lifestyle industries into its investment portfolio, thereby extending its soft power internationally.
For Affinity Partners, the EA deal marks its highest-profile transaction to date. Having received its initial $2 billion backing from PIF in 2021, Affinity has mostly targeted smaller growth-stage companies in health tech and consumer industries. Participation in the EA transaction elevates its visibility and underscores the firm’s ability to leverage political and business networks in securing marquee opportunities.
If approved, the buyout could reshape the landscape of video gaming. EA, known for its flagship sports franchises like FIFA (now EA Sports FC), Madden NFL, and NHL, would have the financial support to expand further into live-service platforms, esports, and emerging technologies such as cloud-based gaming. With sovereign capital driving this pivot, the transaction represents not only a milestone in gaming M&A, but also a signal of how global capital flows are redrawing the boundaries between technology, politics, and entertainment.