EA Sale To Saudi Arabia Clears A Major Hurdle
Electronic Arts shareholders have approved the proposed $55 billion sale of the games publisher to an investor group led by Saudi Arabia’s Public Investment Fund. The vote removes a major obstacle to taking EA private, but the transaction still requires regulatory approvals before it can be completed.
Shareholders would receive $210 per share in cash under the deal, while the PIF is expected to hold about 93.4% of EA after completion. Silver Lake and Affinity Partners are also part of the buyer group; the acquisition, announced in September 2025, is expected to close within six to nine months if remaining approvals are secured.
In short
- EA shareholders approve $55bn Saudi-led takeover
- Deal would take EA private
- Regulatory approvals are still required
Steelman: both sides, in good faith
The strongest fair case each way — we don't pick a winner.
The case for
Shareholders are receiving a substantial premium that locks in significant value and reflects EA's true market worth. The PIF's long-term investment horizon could liberate EA from short-term earnings pressures that have driven criticism of game design practices. International investment in technology and entertainment is standard practice globally, and the consortium includes experienced tech investors like Silver Lake who provide competent stewardship. Accepting this deal provides certainty rather than risking future market volatility.
The case against
Selling a major American entertainment company to a foreign sovereign wealth fund raises legitimate concerns about cultural independence and creative freedom, particularly given questions about Saudi Arabia's human rights record and potential implications for game content decisions. The deal establishes a troubling precedent for state-controlled ownership of critical American media assets. Long-term shareholder value and the potential for EA's independent management to deliver greater returns are sacrificed for immediate premium payouts, and there are valid concerns about talent retention under foreign state ownership.
Explained simply
Electronic Arts is one of the world's largest video game publishers, responsible for major franchises including FIFA, The Sims and Battlefield. The company is currently listed on stock exchanges and owned by thousands of shareholders. A proposal to take it private would mean a single owner or group controls the entire company, allowing more freedom to pursue long-term strategies without quarterly earnings pressure.
Saudi Arabia's Public Investment Fund, a state-owned investment vehicle, is leading the bid to acquire EA alongside investment firms Silver Lake and Affinity Partners. This reflects a broader Saudi strategy to invest in entertainment, technology and media beyond oil revenues. At $55 billion, the deal would rank among the largest acquisitions in gaming industry history.
Before the transaction can complete, it must clear multiple regulatory hurdles in different countries. Authorities examine major deals to ensure they comply with competition and national security rules. The approval process typically takes months, and regulators may block the deal if they have substantial concerns.
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