It’s official: EA is going private.
The leveraged buyout will be financed by a staggering $20 billion of debt, which likely means some *aggressive* cost cutting is ahead for EA in the coming months and years.
https://www.businesswire.com/news/home/20250929186526/en/EA-Announces-Agreement-to-be-Acquired-by-PIF-Silver-Lake-and-Affinity-Partners-for-%2455-Billion
In a deal involving a company owned by Jared Kushner, a company that is basically just the Saudis, and $20B of debt.
Holy shit, that is a lot of debt… EA is going to be absolutely gutted. I imagine the ones gutting it will be paid generously for the trouble though.
It’s only about 20% debt.
The word “only” is doing a lot of heavy lifting there.
Leveraged buy outs are usually at least 50% debt.