Electronic Arts, video game company behind “The Sims” and “Madden NFL,” to be acquired in $55 billion deal
Electronic Arts (EA) Acquired in $55 Billion Deal
Video game company Electronic Arts (EA), known for popular titles such as “The Sims” and “Madden NFL,” has announced its acquisition in a landmark $55 billion deal. The California-based company revealed on Monday that it has entered into a definitive agreement to be acquired by a consortium of companies, including Saudi Arabia’s sovereign wealth fund PIF, private equity firm Silver Lake, and Miami-based investment firm Affinity Partners, led by Jared Kushner, President Trump’s son-in-law.
If the deal is finalized, it would mark the most expensive acquisition of a public company to be taken private in history, surpassing the $32 billion paid to Texas utility TXU in 2007. EA stated that the transaction is aimed at accelerating innovation and growth to shape the future of entertainment.
Under the terms of the agreement, which is expected to close in the first quarter of fiscal year 2027, stockholders will receive $210 per share in cash. Andrew Wilson, who has been serving as EA’s CEO since 2013, will continue to lead the company post-acquisition.
Electronic Arts, headquartered in Redwood City, California, is responsible for a range of popular video game franchises, including “Battlefield,” “Apex Legends,” “EA SPORTS College Football,” and “Need for Speed.” In fiscal year 2025, the company reported a net revenue of approximately $7.5 billion. Founded by former Apple employee Trip Hawkins in 1982, EA’s potential privatization would mark the end of its 36-year history as a publicly traded entity.
The $55 billion acquisition also stands as one of the largest deals in the gaming industry to date, following Microsoft’s acquisition of video game company Activision Blizzard for around $69 billion three years ago.
Author Information
Author: Mary Cunningham
Bio: Mary Cunningham is a reporter for CBS MoneyWatch. Prior to joining the business and finance vertical, she held positions at “60 Minutes,” CBSNews.com, and CBS News 24/7 as part of the CBS News Associate Program.
