Electronic Arts Nears Takeover by Silver Lake, PIF

(Bloomberg) — Electronic Arts Inc., known for popular video-game titles such as and , is in talks to be acquired by a group of US investors with backing from Saudi Arabia, according to people with the matter.

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EA is speaking to Silver Lake Management, Saudi Arabia’s Public Investment Fund and Jared Kushner’s Affinity Partners about a leveraged buyout that could be the largest ever, the people said, asking not to be identified because the matter is private.

The company could announce a deal as soon as next week, they added. Nothing is finalized and talks could still fall apart.

Electronic Arts ranks among the largest independent video-game companies in the US, alongside Roblox Corp., which is valued at almost $94 billion, and Take-Two Interactive Software Inc., publisher of the series. Activision, maker of the shooter games, was acquired by Microsoft Corp. two years ago for $69 billion.

A takeover of Electronic Arts would rank among the biggest deals announced so far in 2025, according to data compiled by Bloomberg.

JPMorgan Chase & Co. is working on a financing package for the buyers, the people added.

Shares of Redwood City, California-based Electronic Arts closed about 15% higher at $193.35 at in New York, giving the company a market value of roughly $48 billion.

Representatives for Electronic Arts and PIF didn’t respond to a request for comment. Representatives for Silver Lake, Affinity Partners and JPMorgan declined to comment.

The Wall Street Journal reported on the talks earlier Friday, while the Financial Times wrote about the financing details.

Kushner, the president’s son-in-law, founded the investment firm Affinity Partners during the first Trump administration and is backed by foreign investors, including from the Middle East.

Saudi Arabia’s PIF already has a significant investment in video games, including a near 10% stake Electronic Arts and ownership of , which was purchased earlier this year for $3.5 billion. In 2023, the fund’s Savvy Games Group bought Scopely Inc. for $4.9 billion, acquiring the company that released

The PIF has earmarked $38 billion for video-game investments.

“There’s consolidation happening in the marketplace,” Scopely’s co-Chief Executive Officer Javier Ferreira said in an interview from the Game Developers Conference in San Francisco in March. “What’s driving it is that it’s become increasingly difficult to achieve growth and success.”

After struggling at the beginning of 2025 due the underperformance of its latest soccer game, , Electronic Arts has bounced back, citing “better-than-expected contributions” across its portfolio in its most recent earnings call.

The company will release on Oct. 10, competing with Microsoft’s for the video-game shooter market.

The takeover discussions coincide with a period of sluggish growth for the $178 billion video-game industry, which has shed tens of thousands of jobs over the last three years following a swell of players during Covid lockdowns.

Earlier this year, Electronic Arts cut hundreds of staff, its third mass layoff since 2023.

The industry got a positive jolt at midyear with the release of Nintendo Co.’s Switch 2 console. Analysts expect the company to sell 16 million units of the new product in the first year and as many as 80 million over its lifetime.

Shares of video-game companies have been solid performers this year. Even before Friday’s increase, Electronic Arts was up 15% this year, more than the S&P 500 Index. Take-Two is up 39% this year, with investors anticipating record sales from a new version of Nintendo is up 40%.

–With assistance from Jason Schreier.

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