Saudi Arabia's PIF Considering Merger of EA and Savvy Games Group

Saudi Arabia's Public Investment Fund (PIF) is reportedly planning to merge Electronic Arts (EA) with its subsidiary, Savvy Games Group. According to sources cited by Bloomberg, this merger would help ensure better coordination between the assets of both companies. Savvy Games' current portfolio includes investments in Scopely, ESL Gaming, FaceIt, and a $1 billion stake in Embracer Group. Additionally, Savvy holds stakes in major gaming companies such as Nintendo, Capcom, Nexon, Take-Two Interactive, Activision Blizzard, and Koei Tecmo. Currently, Savvy is in the process of acquiring the Chinese mobile games company Moonton for $6 billion, a deal that was announced in March. Sources indicate that the merger of EA into Savvy is unlikely to occur until after this acquisition is finalized. The PIF recently completed a $55 billion leveraged buyout of EA, making it the majority owner of the developer. EA stated in a letter to its staff that its mission, values, and commitment to players and fans worldwide would remain unchanged. Last week, Brian Ward stepped down as CEO of Savvy Games, and Turqi Alnowaiser, deputy governor of the PIF, was appointed as interim CEO. Ward had been leading Savvy Games since its establishment in 2021 and oversaw significant investments to expand Saudi Arabia's presence in the global gaming industry.