Saudi Arabia’s PIF reportedly short on fresh capital for new investments

• PIF has told investors it can’t deploy major new capital without help in stabilising existing ventures.
• Gaming remains one of the fund’s most aggressive global expansion fronts.
• Savvy Games Group has invested tens of billions across esports, publishing and major studios.

Saudi Arabia’s Public Investment Fund (PIF) is reportedly facing mounting financial pressure despite its global reputation as a trillion-dollar powerhouse. 

As reported by the New York Times, the fund continues to project vast investment capacity abroad but is running low on deployable capital. 

Sources claimed much of the fund’s alleged nearly $1 trillion in assets are tied up in illiquid ventures such as its would-be utopian city Neom, luxury resorts and early-stage consumer businesses, limiting its ability to keep funding its ambitious ventures.

As a result, PIF representatives have reportedly told global investors they cannot commit significant new capital without support in turning around existing ventures.

Games ambitions 

Against this backdrop, gaming remains one of PIF’s most visible and aggressive arenas of global expansion.

PIF has investments in the likes of Nintendo, Nexon and Capcom, while Savvy Games Group has poured billions into esports and developers like Embracer Group, ESL FaceIt Group and Scopely - which itself acquired Niantic. PIF is also set to splash the cash as part of a $55bn buyout of publisher EA.

Savvy has outlined a long-term mission to make Saudi Arabia a global games hub, supported by state-backed infrastructure, talent and acquisition spending.

The report also touched on the PIF's proposed acquisition of Electronic Arts. Sources said that the bid is framed as a long-term value play, but also reflects Crown Prince Mohammed bin Salman’s personal passion for games.