"Despite a "consortium" of investors being involved in the deal, including President Trump's son-in-law, Jared Kushner, the Public Investment Fund will control 93 percent of the company, according to filings with Brazil's antitrust regulator. As reported by the Wall Street Journal, this is the reverse of what you might usually expect for one of these deals where a sovereign wealth fund is one of the smaller players in a buyout led by private equity."
"The Financial Times previously reported that Kushner was instrumental in facilitating a deal between Saudi Arabia and EA, though SEC filings about the timeline for the transaction make no mention of that. Crown Prince Mohammed bin Salman recently met with Trump at the White House as part of a deal for AI chips, fighter jets, and other giveaways, where the President denied the Prince's family having any significant private dealings with the Kingdom and brushed aside questions about MBS's role in murdering a Washington Post journalist."
A $55 billion leveraged buyout of Electronic Arts will result in the Public Investment Fund of Saudi Arabia owning 93 percent of the company. A consortium including Jared Kushner, Silver Lake, and Affinity will hold the remaining stakes, with Silver Lake at 5.5 percent and Affinity at 1.1 percent. Silver Lake and Affinity receive some investment funds from Saudi Arabia. Kushner was reported to have helped facilitate the transaction, and Crown Prince Mohammed bin Salman met with the U.S. President amid related defense and technology discussions. The PIF is relying on about $20 billion in loans despite signs of financial strain, and that high-interest debt will need servicing through large AI bets or likely budget cuts.
Read at Kotaku
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