EA Nears $50 Billion Deal to Go Private
Gaming giant Electronic Arts (EA) is reportedly close to finalizing a landmark deal that would take the company private in what could become the largest leveraged buyout in history.
According to a report by the Wall Street Journal (WSJ), EA is in advanced talks with a group of investors, including Silver Lake and Saudi Arabia’s Public Investment Fund (PIF), to complete a deal potentially valued at up to $50 billion. An official announcement could come as early as next week, sources told the publication.
While negotiations over the final price are still ongoing, the deal would represent a massive leap from EA’s market value of roughly $43 billion before news of the talks became public. Following the report, EA’s stock price surged nearly 15%, signaling strong investor interest and market confidence.
The PIF already holds a 10% stake in EA, acquired in 2023, while Silver Lake — a private equity firm with investments in the tech and entertainment sectors — currently has no direct stake in the company. However, Silver Lake does hold partial ownership of Unity Technologies, a game engine platform EA has used for past projects.
If completed, the buyout would surpass the previous record set by the $32 billion sale of TXU in 2007, making it the most significant deal of its kind, not adjusted for inflation.
EA, best known for blockbuster franchises such as FIFA, The Sims, Battlefield, and Apex Legends, has been under pressure to adapt to shifting trends in the gaming industry, including the rise of live-service models and mobile gaming.
Going private could give the publisher more flexibility to restructure without the scrutiny of public markets, a move analysts believe could help EA focus on long-term growth.
Neither EA nor the involved investors have publicly commented on the ongoing negotiations.
