The Oak Eagle consortium, formed by Saudi Arabia’s Public Investment Fund (PIF), Silver Lake, and Jared Kushner’s Affinity Partners, has made a tender offer for $1.5 billion in senior unsecured notes from Electronic Arts (EA).
The bid price is at the same level as the corresponding ongoing U.S. Treasury yield (T+0) and includes a 5-point early bid premium. The offer is conditional on the consortium’s expected completion of its acquisition of U.S.-based EA between April 1, 2026 and June 30, 2026.
The notes include a $750 million issuance of 1.85% securities due February 2031, with the reference security set at 3.75% of U.S. Treasury securities due January 31, 2031.
The remaining $750 million note carries 2.95% collateral due February 2051 and a 4.625% UST reference note due November 15, 2055.
Oak-Eagle is also seeking consent from existing EA holders to remove all restrictive terms from non-participating EA Notes.
The final payment date is March 16th.
JPMorgan is the sole lead dealer manager and consenting agent for the tender offer.
A $55 billion public-private deal for video game developer EA in September set a record for the largest leveraged buyout in history. The deal was financed with a combination of $36 billion in cash, equity already held by the Saudi sovereign wealth fund, and $20 billion in debt financed by JPMorgan.
(Writing: Bindu Rai; Editing: Sevan Scalia)
bindingu.rai@lseg.com
