Summary
Former employees of Annapurna Interactive have acquired the operational reins of Private Division, a studio previously under Take-Two Interactive's ownership. The majority of Annapurna Interactive's workforce departed their parent company in September 2024 following failed negotiations with Annapurna Pictures CEO Megan Ellison.
Annapurna Interactive, prior to its 2024 restructuring, published several critically acclaimed games, including Stray, Kentucky Route Zero, and What Remains of Edith Finch.
Private Division, established in 2017, was sold by Take-Two Interactive in November 2024. The buyer remained unannounced, and the sale resulted in significant layoffs.
According to a report by Jason Schreier, the alleged buyer is Haveli Investments, an Austin-based private equity firm. Haveli and the former Annapurna staff reportedly reached an agreement to manage Private Division's remaining titles, including the anticipated Tales of the Shire (March 2025 release), the established Kerbal Space Program, and an unannounced project from Game Freak.
Private Division's Restructuring Reflects Industry Trends
The departure of most Annapurna Interactive employees in September 2024 followed disagreements with CEO Megan Ellison. While Haveli's acquisition retained approximately twenty Private Division employees, further layoffs are anticipated to accommodate the incoming Annapurna team. The future direction of the combined entity, including potential new IP or projects, remains uncertain, as does its official name and mission statement.
The merger of Annapurna and Private Division's assets highlights the current state of the gaming industry, characterized by widespread layoffs and studio closures in recent years. This acquisition, where one group of laid-off employees takes over from another, reflects the industry's increasingly aggressive approach amid investor hesitancy towards high-risk, large-scale projects.
