Another big U.S. video game company is being bought out. That's led investors to the inevitable question: Who's next?
Electronic Arts' $55 billion sale is a boon for Wall Street's biggest banks. Investment bank hiring remains spotty and selective, however, with senior bankers benefiting most.
The videogame company is going private in a $55 billion deal, as it finally has a potential hit combat game on its hands.
Electronic Arts (EA) is to be taken private under a $55bn (£41bn) buyout - a record sum for such a deal.
Electronic Arts will go private in a $55 billion all cash buyout led by Saudy Arabia's Public Investment Fund, Silver Lake and Jared Kushner's Affinity Partners, the largest leveraged buyout on record and a high stakes wager that one of gaming's most iconic publishers can scale faster off Wall Street.
Video game giant Electronic Arts announced Monday it would be acquired by a consortium led by Saudi Arabia's Public Investment Fund for $55 billion, in what EA said would be the largest all-cash private equity buyout in history.
Electronic Arts is going private in a $55 billion leveraged buyout that marks the largest such deal in history and further consolidate the gaming industry.
Electronic Arts Inc (NASDAQ:EA, ETR:ERT) said Monday it has agreed to be acquired in a $55 billion all-cash transaction led by Saudi Arabia's Public Investment Fund, Silver Lake and Affinity Partners, marking what would be the largest leveraged buyout in Wall Street history. The takeover values EA at $210 per share.
Electronic Arts (EA) saw its shares surge in the last session with trading volume being higher than average. The latest trend in earnings estimate revisions could translate into further price increase in the near term.
Why is Electronic Arts, one of the biggest names in the video game business, reportedly in talks to go private?
Mr. Kushner's private equity firm, Affinity Partners, is said to be in talks with the Saudi sovereign wealth fund and Silver Lake to buy out the video game giant.
A transaction in the works could value Electronic Arts at $50 billion.