Electronic Arts $55B Sale Could Impact Orlando’s EA Tiburon Studio and Jobs

Image Source: Unsplash

Electronic Arts, the video game publisher behind Madden NFL, FIFA, and The Sims, will be acquired in a $55 billion all-cash transaction that will take the company private. The deal, announced Monday, Sept. 29 is one of the largest leveraged buyouts in history.

Under the agreement, a consortium made up of Saudi Arabia’s Public Investment Fund (PIF), private equity firm Silver Lake, and Affinity Partners will buy EA for $210 per share, a 25% premium over the company’s stock price before the deal was announced. The acquisition includes $36 billion in equity financing and $20 billion in debt financing, led by JPMorgan.

EA’s board of directors has approved the transaction, which still requires regulatory review and shareholder approval. The companies expect the deal to close in the first quarter of EA’s fiscal 2027. Once complete, EA’s stock will be delisted, and the company will no longer trade publicly.

EA confirmed that Andrew Wilson will remain CEO after the sale is finalized. In a statement, Wilson said:

“Our creative and passionate teams at EA have delivered extraordinary experiences for hundreds of millions of fans … this moment is a powerful recognition of their remarkable work.”

Electronic Arts also maintains a significant presence in Orlando, where its EA Tiburon studio develops Madden NFL and other sports titles.

At this time, no official announcements have been made about changes to EA’s Orlando operations. Any speculation about potential job impacts, restructuring, or expanded investment would be assumptions.

Turqi Alnowaiser, Deputy Governor of PIF, said the deal would “help further drive EA’s long-term growth, while fueling innovation within the industry on a global scale.”

Jared Kushner, founder of Affinity Partners, added: “I couldn’t be more excited about what’s ahead.”

The transaction is now under review and will determine how EA, including its Orlando studio, moves forward under private ownership.

Report

What do you think?

385 points
Upvote Downvote
Ava McDonnell Influencer

Written by Ava McDonnell

Ava McDonnell is the Digital Content Creator for Central Florida Lifestyle Magazine while also earning her bachelor's degree in English at the University of Central Florida. Her work has been featured in UCF's The Charge and Her Campus UCF. She also has experience in editing using AP Style and SEO guidelines.

Located in Clermont, Ava has always had a passion for learning about people's lives and sharing accurate stories with the world. She is dedicated to getting the job done right while making content interesting for readers. Aside from writing, you can find her indulging in the great outdoors with the people she loves. Whether it is hiking, taking photographs, or trying new activities, she is up for almost anything.

Content AuthorFrequent User

Leave a Reply

Your email address will not be published. Required fields are marked *

Loading…

0

Comments