🚀 EA going private for $55B

Market Overview
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Year To Date Performances:

1. Electronic Arts will go private in a record-breaking $55 billion deal with Saudi Arabia’s Public Investment Fund, Silver Lake, and Jared Kushner’s Affinity Partners, giving shareholders $210 a share in cash. The transaction, which includes $36 billion in equity and $20 billion in debt financing from JPMorgan, will mark the largest leveraged buyout in Wall Street history. PIF, already a 9.9% shareholder, will become the dominant investor, while CEO Andrew Wilson will remain in place to lead the gaming giant best known for Madden NFL, The Sims, and Battlefield. EA’s stock jumped again Monday after rising 15% Friday on earlier reports, and the deal is expected to close in fiscal Q1 2027 following a 45-day go-shop period for competing offers.

2. President Donald Trump announced on Truth Social that he plans to impose a 100% tariff on all foreign-made films and levy “substantial” tariffs on countries that do not manufacture furniture in the U.S., echoing but not yet acting on similar threats he made earlier this year. Trump claimed the measures would revive California’s movie industry and North Carolina’s furniture sector, which he argued had been “stolen” by foreign competition. The White House has not clarified how or when these tariffs would be implemented, leaving many unanswered questions about their scope and legality. The comments come just days after Trump already pledged new duties of 50% on kitchen and bathroom furnishings and 30% on upholstered furniture, set to take effect this week.

3. Coach is betting that coffee can help it win over Gen Z shoppers, opening branded cafés alongside its stores that sell pumpkin lattes, matcha drinks, and purse-shaped desserts. The Tapestry-owned brand plans to open 12 to 15 of these shops a year, using them to boost store traffic, encourage social media buzz, and offer lower-price entry points for teens who may later become handbag buyers. Merchandise exclusive to the cafés, like $95 totes featuring a cartoon mascot, has already proven to be a strong revenue driver, while locations with cafés are reporting double- and triple-digit sales gains. With TikTok trends propelling its bags and stock price higher, Coach sees coffee shops as both a profitable side business and a powerful way to cement loyalty with the next generation of luxury consumers.

   Headlines

   1. Comcast has named Mike Cavanagh as a new co-CEO alongside existing CEO Brian Roberts.

   2. Lufthansa is cutting 4,000 jobs as part of a restructuring effort that will prioritize AI and automation.