Private Division Led by Former Annapurna Interactive Veterans

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 staff departed their parent company in September 2024 following unsuccessful negotiations with Annapurna Pictures CEO Megan Ellison.

Annapurna Interactive, known for publishing acclaimed titles such as Stray, Kentucky Route Zero, and What Remains of Edith Finch, experienced significant internal upheaval in 2024.

Private Division, established in 2017, was sold by Take-Two Interactive in November 2024. The buyer remained anonymous initially, and the sale resulted in widespread layoffs.

According to journalist Jason Schreier, Haveli Investments, an Austin-based private equity firm, is the alleged buyer. Haveli and the former Annapurna staff have reportedly partnered to manage Private Division's existing projects, including Tales of the Shire (slated for March 2025), the Kerbal Space Program, and an unannounced title from Game Freak.

Private Division's Restructuring Reflects Industry Instability

The mass exodus from Annapurna Interactive in September 2024 followed failed negotiations 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. The studio's name and overall vision are yet to be revealed.

This merger mirrors the broader gaming industry's recent turbulence, marked by extensive layoffs and studio closures. The integration of two groups of displaced game developers symbolizes the industry's aggressive approach, driven by investor apprehension towards high-risk, large-scale projects.