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Jared Kushner, Saudi Arabia, and Silver Lake Lead Record $55 Billion Buyout of EA Games

Jared Kushner, Saudi Arabia, and Silver Lake Lead Record $55 Billion Buyout of EA Games

Electronic Arts (EA), the world-famous developer behind EA Sports, “Battlefield,” and “The Sims,” is being sold in what experts are calling the largest private equity-funded buyout in history. The $55 billion deal involves Saudi Arabia’s Public Investment Fund (PIF), private equity giant Silver Lake, and Affinity Partners, a firm managed by Jared Kushner.

This massive move has stunned the gaming industry, raising questions about the future of EA Games, global investments in gaming, and the role of Saudi Arabia in shaping the future of entertainment.


Deal Highlights


Why This Buyout Matters

The EA buyout is historic for several reasons:

  1. Record-breaking scale: The deal is nearly double the $32 billion leveraged buyout of TXU in 2007.

  2. Saudi Arabia’s growing influence: The kingdom is rapidly expanding its presence in gaming through its Savvy Gaming Group.

  3. Jared Kushner’s role: As head of Affinity Partners, Kushner’s involvement is under heavy scrutiny due to his ties to former President Donald Trump and previous Saudi investments.


Saudi Arabia’s Gaming Strategy

Saudi Arabia’s PIF already owns nearly 9.9% of Electronic Arts stock and has invested billions into gaming since 2022.

According to Raymond James analyst Andrew Marok:

“The Saudi PIF has been a very active player in the video gaming market since 2022. The EA Games deal would represent the biggest such move to date by some distance.”

This makes Saudi Arabia EA Games one of the most important global stories in gaming and finance.


Jared Kushner’s Statement

Jared Kushner expressed personal excitement about the deal:

“I’ve admired EA’s ability to create iconic, lasting experiences, and as someone who grew up playing their games — and now enjoys them with my kids — I couldn’t be more excited about what’s ahead.”

Kushner’s involvement signals a shift where political figures are increasingly stepping into high-profile global business ventures. His firm, Affinity Partners, will be one of the key financial players in the takeover.


EA Sports and Its Global Reach

EA Sports is one of the most iconic brands in gaming history. With popular titles like Madden NFL, FIFA (now EA FC), and NBA Live, the division has shaped sports culture worldwide.

The EA Sports Silver Lake partnership may allow the company to expand further into esports, live service games, and immersive online platforms.


EA’s History on the Stock Market

For shareholders, the EA stock price of $210 per share is a major windfall.


Potential Hurdles: National Security Review

The deal must pass approval from the Committee on Foreign Investment in the United States (CFIUS), since it involves Saudi Arabia.

Still, analysts believe approval is likely, given the financial scale and strong political connections.


Industry Reactions

The gaming industry is divided:


What This Means for Gamers

For fans of EA Sports and other franchises, here’s what could happen:


Key Takeaways


Conclusion

The buyout of Electronic Arts marks a turning point in the gaming world. With Jared Kushner, Saudi Arabia, and Silver Lake leading the charge, this is more than just a financial transaction — it’s a signal of how global politics, technology, and entertainment are increasingly intertwined.

For now, gamers will keep playing EA Sports favorites, but behind the scenes, the company is entering a new era shaped by some of the world’s most powerful investors.


References

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