Silver Lake and Saudi Arabia's Public Investment Fund (PIF) have reportedly approached Unity Software about a potential acquisition valued at around USD 25 billion. The discussions follow the consortium's recent USD 55 billion acquisition of Electronic Arts (EA), adding another major gaming company to its investment interests.
According to Reuters, the investor group made its approach in recent weeks. The talks are still at an early stage, and there is no certainty that an agreement will be reached.
Unity has reportedly appointed an investment bank to review its strategic options. The proposed valuation was discussed before the company's latest earnings report increased its market capitalization to approximately USD 21.5 billion. Unity shares gained 6.6% to USD 52.04 in extended trading after rising nearly 15% during the regular session.
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Unity's recent financial performance appears to have strengthened investor interest. The company recorded its first quarterly GAAP profit since going public in September 2020. Growth in its AI-powered Vector advertising platform contributed to the improvement. The development marks a positive shift for Unity after criticism surrounding its earlier Runtime Fee pricing policy damaged its relationship with game developers.
Silver Lake also has an existing connection with Unity. The investment firm acquired an approximately 8% stake in the company through a USD 400 million investment in 2017. Its chief executive and managing partner, Egon Durban, also serves on Unity's board.
His involvement could raise governance questions if the company considers a sale. Reuters noted that Durban would typically recuse himself from board discussions concerning a potential transaction.
A potential Unity acquisition would give Saudi PIF another significant position in the global gaming industry. The fund recently completed its USD 55 billion acquisition of Electronic Arts on August 4, 2026, alongside Silver Lake and other investors.
Unity offers a different investment opportunity from EA. Rather than owning individual gaming franchises, Unity develops the engine and tools used by thousands of game developers.
Neither PIF nor Silver Lake had responded to requests for comment at the time of reporting. Unity has not announced any agreement, and its existing products, licensing arrangements and developer services continue unchanged.