EA Acquisition: Understanding the Buyers

Electronic Arts has agreed to a $55 billion acquisition by a consortium consisting of Saudi Arabia's Public Investment Fund, Silver Lake, and Affinity Partners. This deal has sparked interest due to the profiles of the involved parties. The Public Investment Fund, controlled by Saudi Arabia's Crown Prince Mohammed bin Salman, is one of the world's largest sovereign wealth funds, with assets valued at $925 billion. Despite its significant presence in the gaming and esports sectors, PIF's investments have been controversial due to Saudi Arabia's human rights record. The fund's gaming and esports investment arm, Savvy Games Group, was established in 2021 and has acquired notable companies such as ESL FACEIT Group. PIF also holds shares in several gaming companies, including Embracer Group, Capcom, and Nintendo. Silver Lake, a prominent private equity firm specializing in tech investments, has a diverse portfolio that includes companies like Airtable, Dell, and Unity Technologies. The firm is also linked to various football clubs through its stake in City Football Group. Affinity Partners, an independent US investment firm led by Jared Kushner, has been scrutinized for its ties to foreign investors, including the Saudi Arabian government. The acquisition, which is subject to approval by EA's stockholders and regulatory bodies, is expected to be finalized in the first quarter of 2027 if successful.