Electronic Arts Goes Private in Historic $55 Billion Leveraged Buyout Deal

Electronic Arts (EA) recently announced plans to go private in what would become the largest leveraged buyout (LBO) in history. On Monday, September 29, EA revealed it would be acquired in an all-cash deal by Silver Lake, Saudi Arabia’s Public Investment Fund (PIF), and Affinity Partners.

The deal values EA at $55 billion, paying shareholders $210 per share — a 17% premium over EA’s all-time high reached in August. A 45-day “go-shop” window allows for competing proposals, but analysts remain confident the deal will close.

EA’s Legacy and Growth

Founded in the 1980s, EA has long been a giant in the video game industry, with iconic franchises such as EA Sports, The Sims, and Battlefield. Over the past year, the company has shown strong growth, exceeding expectations in its July earnings report by posting $1.29 billion in net bookings versus the $1.27 billion expected.

EA Sports has also revamped its college football game and announced plans to revive its college basketball series — moves that have further strengthened the brand’s momentum.

Who’s Buying EA?

The acquiring consortium includes:- Saudi Arabia’s Public Investment Fund (PIF), which already owns a 9.9% stake in EA.- Silver Lake, a tech-focused private equity firm managing more than $110 billion in assets.- Affinity Partners, a Miami-based investment firm founded by Jared Kushner, with $5.4 billion in assets under management.

Deal Structure and Timeline

The transaction involves roughly $36 billion in equity and $20 billion in debt financing, provided solely by J.P. Morgan. The deal is expected to close by Q1 of EA’s FY 2027, pending regulatory approval, shareholder votes, and other customary conditions. PIF will roll over its 9.9% stake into the new structure.

Leadership and Strategic Outlook

EA CEO Andrew Wilson will remain in his role after the acquisition. Egon Durban, co-CEO of Silver Lake, has reportedly been interested in EA for years, citing both Wilson’s leadership and their close personal relationship — the two are neighbors in Hawaii. EA’s stable revenue model and strong leadership have made it an appealing target for a leveraged buyout.

What’s Next for EA?

Following the acquisition, PIF is expected to expand EA’s presence in mobile gaming through its subsidiaries Scopely and Niantic, two leading mobile game publishers. These moves could help address investor concerns about EA’s growth potential, especially as the company has already pivoted heavily toward live-service games — free titles that generate revenue through in-game purchases and new content.

Broader Implications

If completed, this transaction would represent the largest leveraged buyout in history and signal a surge of private-capital interest in the gaming sector. Going private could give EA greater flexibility to invest in new platforms, technologies, and creative projects without the short-term pressures of public markets.

Sources

Morning Brew. “Will Electronic Arts Break a Leveraged Buyout Record?” Morning Brew, September 29, 2025. https://www.morningbrew.com/stories/2025/09/29/will-electronic-arts-break-a-leveraged-buyout-record

Franck, Thomas. “EA’s $55 Billion Deal Delivers a Win for Investors but Raises Uncertainty for Gamers.” CNBC, October 3, 2025. https://www.cnbc.com/2025/10/03/eas-55-billion-deal-delivers-a-win-for-investors-but-raises-uncertainty-for-gamers.html

The Wall Street Journal. “Electronic Arts to Be Taken Private in $55 Billion Buyout.” The Wall Street Journal, October 2, 2025. https://www.wsj.com/business/deals/ea-private-deal-buyout-video-game-maker-808aefec

Electronic Arts Inc. “EA Announces Agreement to Be Acquired by PIF, Silver Lake, and Affinity Partners for $55 Billion.” Electronic Arts Press Release, September 29, 2025. https://news.ea.com/press-releases/press-releases-details/2025/EA-Announces-Agreement-to-be-Acquired-by-PIF-Silver-Lake-and-Affinity-Partners-for-55-Billion/default.aspx