According to the Wall Street Journal, the company ‘ s stock prices rose by more than 14 per cent on Fridays, as a result of a 50 billion dollar privatization deal that was close to being reached by the leading game giant, Electronic Arts, known for its classic series of Model Lives, Fields and Madden Football.
According to reports, a consortium of silver fox capital, Affinity Partners of Jared Kouchner and the Saudi Public Investment Fund (PIF) will publish the trading programme as early as next week. Two informed sources revealed that the value of the transaction to EA could be as high as $50 billion, but price negotiations were still ongoing. PIF currently holds approximately 10 per cent of EEA shares.
If the deal is reached, it will be the largest leveraging case in history, going beyond the 2007 record of private groups buying TXU from the Texas utility company for about $32 billion (not included in debt acceptance). The current market value of EA is $48.38 billion, and the stock price is at a 52-week high of $193.95 on Friday.
In terms of equity performance, the value of EEA increased cumulatively by 11.56 per cent in almost five trading days, by 12.26 per cent in the last month, by 33 per cent in the last six months, by 32 per cent in the beginning of the year, by 34 per cent in the last year and by 47.4 per cent in five years.
