EA Bonds Rocked by Buyback Offer Tying Them to Treasuries

Electronic Arts Inc.’s bonds plunged Tuesday after the prospective buyers of the videogame maker launched a buyback offer that tied the notes’ prices to US Treasuries.

EA’s note due 2051 plunged 13.75 cents on the dollar to 78.25 cents on the dollar as of 2:39 p.m. in New York, according to Trace data. A bond that matures in 2031 fell 4.7 cents to 92 cents. Both are at their lowest level since the company’s buyout was announced in late September.