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Electronic Arts to Be Taken Private in $55 Billion Sale to PIF, Silver Lake and Affinity Partners

JPMorgan is underwriting $20 billion of debt to fund the all-cash offer.

Overview

  • The consortium will pay $210 per share, valuing EA at about $55 billion and representing a 25% premium to Thursday’s close.
  • Saudi Arabia’s Public Investment Fund remains a 9.9% minority holder while Silver Lake and Affinity Partners, founded by Jared Kushner, purchase the remaining shares.
  • Buyers plan to fund roughly $36 billion in cash, including a $20 billion loan fully underwritten by JPMorgan Chase.
  • The companies expect to close in EA’s fiscal first quarter between April and June pending regulatory approval, after which EA will be delisted.
  • EA’s franchises include EA Sports FC, Madden, NHL, UFC, F1 and The Sims, with The Sims 4 reaching 85 million players as of May 2024.