Catenaa, Monday, March 16, 2026- A JPMorgan-led group of banks on Monday began marketing to investors a $5.75 billion loan helping finance the leveraged buyout of Electronic Arts.
According to a term sheet seen by Reuters, the seven-year term loan B consists of a $4 billion U.S. dollar portion as well as a 1.531 billion euro ($1.75 billion-equivalent) portion.
This will help finance game publisher EA’s $55 billion take-private deal by a consortium of investors including Saudi Arabia’s Public Investment Fund, Silver Lake, and Affinity Partners.
There is also a $3.25 billion term loan A and $9 billion in other dollar and euro-denominated secured and unsecured debt, according to the term sheet.
The take-private deal is expected to close in June, according to the firms’ September announcement.
The banks are marketing the $4 billion portion and the 1.531 billion euro portion of the term loan B at a discounted 98.5 cents on the dollar and a floating interest rate of 350 basis points (bps) to 375 bps over the Secured Overnight Financing Rate (SOFR) and the Euro Interbank Offered Rate (Euribor), respectively, according to the term sheet.
The loan sale’s deadline is currently set for market close on March 23, according to the term sheet.
EA stock gained marginally on Monday despite the news, as the market was more concern on the US-Iran war. The stock is down by over 2% so far this year.
