• EU likely to scrutinize PIF’s involvement under FSR
• China could see deal as way of getting leverage over Trump

The largest leveraged buyout in history – the all-cash USD 55bn take-private of Electronic Arts – faces tough regulatory scrutiny in both Europe and China.

The California-based company is being taken over by Affinity Partners, private equity firm Silver Lake, and the Saudi Arabian sovereign wealth fund Public Investment Fund (PIF). Affinity was founded by US President Donald Trump’s son-in-law, Jared Kushner.

PIF’s involvement is likely to raise concerns in the European Union under the Foreign Subsidies Regulation, according to Hell or High Water, a weekly Mergermarket column. Will the involvement of a state player distort the competitive landscape?

Meanwhile, the Chinese authorities are likely to have taken note of Kushner’s role as a linchpin of the deal. The country could see a tough regulatory approach as a way of gaining leverage over Trump.

Reuben Miller, Mergermarket’s global chief regulatory editor, joins Dealcast host Julie-Anna Needham to discuss why the antitrust review of the deal is likely to be relatively straightforward, despite the risks from other processes.

• Could China seek concessions from the Trump administration in the midst of the ongoing trade war?
• Will the Committee on Foreign Investment in the US give PIF an easy ride, given the involvement of Trump’s family?
• Could regulators seek a data firewall to prevent PIF gaining full access to information on EA’s gamers?

All this and more in this week’s Dealcast.