Drooid Logo
Back to story perspectives

Full Breakdown

Saudi Arabia’s Public Investment Fund Wins EU Antitrust Clearance for $55 Billion Electronic Arts Take-Private

7/23/2026, 7:43:34 PM

Core Event: EU Merger Review Clears $55 Billion EA Buyout

On July 23, the European Commission granted antitrust approval for the proposed acquisition of Electronic Arts Inc. (EA) by a consortium led by Saudi Arabia’s sovereign-wealth fund, the Public Investment Fund (PIF). The deal, valued at $55 billion, also includes private-equity firm Silver Lake and Jared Kushner’s Affinity Partners. The Commission concluded the transaction “will not raise competition concerns” under the EU Merger Regulation. A separate review under the EU’s Foreign Subsidies Regulation is pending, with a decision due by July 30.

Background & Context

The consortium disclosed its intention to take EA private in September 2023, describing it as the largest leveraged buyout in history. At that time, PIF owned a 10 percent stake in EA and would increase it to 93.4 percent if the buyout proceeds. The investors also hold stakes in other gaming companies, notably Take-Two Interactive.

Timeline

  • September 2023 – PIF, Silver Lake and Affinity Partners announce $55 billion leveraged-buyout plan for EA.
  • December 2025 – EA shareholders approve the deal at $210 per share.
  • July 23 2026 – European Commission issues antitrust clearance.
  • July 30 2026 – Deadline for the Foreign Subsidies Regulation decision.
  • First quarter 2027 (expected) – Completion of the acquisition.

Data & Statistics

Official Statements & Responses

The Commission noted that the deal was examined under the standard merger-review procedure and, absent any competition-harm, approval is granted unconditionally.

Criticism & Opposition

Human-rights groups have condemned the deal as “sports-washing,” arguing that Saudi investment seeks to improve its image despite documented abuses. In the United States, several politicians and the Communications Workers of America have urged the FTC to scrutinize the transaction.

Why It Matters

If completed, the acquisition will give Saudi Arabia decisive control over a major global video-game publisher, influencing franchises such as Battlefield and EA Sports FC. The EU’s clearance sets a precedent for sovereign-wealth-fund-backed deals under competition and foreign-subsidy frameworks, while ongoing political criticism highlights the debate over state-linked capital in cultural industries.

Conflicting Reports & Gaps

Sources agree on the EU antitrust approval but differ on the final completion timeline: one outlet cites an expected closing in Q1 2027, while the Commission’s schedule only specifies a July 30 deadline for the subsidy-review decision, leaving the ultimate closing date uncertain. The outcome of the Foreign Subsidies Regulation review remains pending.