Yesterday during a shareholder meeting, EA shareholders voted in favor of a company takeover by Saudi Arabia’s Public Investment Fund. Set to sell to the tune of $55 billion, the deal will now need government approval before it becomes official. Sadly, it seems that approval is a matter of when, rather than if.
If officiated, the PIF will own 93.4% of EA with another 5.5% going to Silver Lake Partners, a US-based private equity investment firm that has ties to many corporations. If finalized, this deal will be the largest leveraged buyout ever, not to mention a rebound for Saudi Arabia. The deal comes at a time when the PIF is starting to run low on funds, likely because of its egregious attempts to force its way into the games industry.
As VGC reports, some US senators have become weary of the deal and warned of potential security risks or foreign influence if EA is acquired. In a letter sent to secretary of the treasury Scott Bessent, two senators urged him to take a deeper look at the details of this acquisition to ensure it doesn’t compromise national security. The duo also believes the PIF is snatching up different institutions in an effort to sway public opinion on Saudi Arabia rather than conduct business. That’s without getting into the connection that the PIF has to Affinity Partners, an investment firm run by Jared Kushner, the son-in-law of current president Donald Trump.
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Saudi Arabia’s PIF has further reduced its stake in Nintendo
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Written by Peter Glagowski
Peter has been a freelance gaming and film critic for over seven years. His passion for Nintendo is only matched by the size of his collection.
