Saudi Arabia Boosts Its Holdings in Electronic Arts

The Public Investment Fund of Saudi Arabia has bolstered its investment in Electronic Arts, the renowned publisher of FIFA. According to a recent filing for the quarter ending March 31, 2023, published on Seeking Alpha, the fund acquired additional shares in EA during the fourth quarter of 2022. Prior to this, the PIF held 16.01 million shares, which has now increased to 24.81 million as of the first quarter of 2023, representing a 55% surge. Given EA's total outstanding shares of over 274 million, the PIF's stake in the company now stands at approximately 9%. Electronic Arts is just one of several major US-based game publishers in which the PIF has invested, with others including Activision Blizzard and Take-Two Interactive. The organisation has also made significant investments in Asian gaming companies, such as Capcom, Nexon, and Nintendo, with its stake in the latter increased to 8.26% earlier this year. Furthermore, the PIF's subsidiary, Savvy Games Group, purchased a $1 billion stake in Embracer Group last year, while the Electronic Gaming Development Company, owned by the crown prince of Saudi Arabia, holds 96% of SNK. The increased investments by Saudi Arabia in the gaming industry have sparked controversy due to the country's human rights concerns, including its stance on homosexuality, which is punishable by law. The crown prince of Saudi Arabia, Mohammed bin Salman, who controls the PIF, is also embroiled in various controversies, including allegations surrounding the assassination of journalist Jamal Khashoggi.