Key facts
- Saudi Arabia's Public Investment Fund is part of a consortium seeking EU subsidy approval for the $55 billion acquisition of Electronic Arts.
- The European Commission has set a July 30 deadline for its decision.
- The deal is also undergoing a separate review under the EU's merger rules.
- The Foreign Subsidies Regulations aim to prevent unfair non-EU subsidies in acquisitions and public tenders within the bloc.
A consortium of investors, including Saudi Arabia's Public Investment Fund (PIF), has applied to the European Commission for subsidy approval concerning its $55 billion acquisition of videogame developer Electronic Arts (EA). The Commission, responsible for enforcing the bloc's Foreign Subsidies Regulations, has set a decision deadline of July 30. These regulations are designed to prevent non-EU subsidies from creating an unfair advantage for companies acquiring EU-based businesses or participating in public tenders. The deal is also subject to a separate review under the EU's standard merger regulations. The Commission will determine whether to clear the acquisition outright or initiate a more in-depth investigation.