Summary
- Former employees of Annapurna Interactive have assumed control of Private Division, a studio previously under Take-Two Interactive's ownership.
- Following failed negotiations with Annapurna Pictures CEO Megan Ellison, most of Annapurna Interactive's staff departed in September 2024.
A group of former Annapurna Interactive employees have acquired Private Division, a studio previously owned by Take-Two Interactive. Prior to its 2024 restructuring, Annapurna Interactive published several 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 anonymous, and the studio's future, along with its existing projects, was uncertain. The sale resulted in widespread layoffs.
According to Jason Schreier, Haveli Investments, an Austin-based private equity firm, is reportedly the buyer. Haveli and the former Annapurna staff have allegedly partnered to manage Private Division's remaining titles, including the anticipated March 2025 release of Tales of the Shire, the long-running Kerbal Space Program, and an unannounced project from Game Freak, the Pokemon developer.
Private Division's Transition Reflects Industry Instability
The majority of Annapurna Interactive's staff left after negotiations with CEO Megan Ellison broke down in September 2024. While Haveli's acquisition retained approximately twenty Private Division employees, some are expected to be laid off to accommodate the incoming Annapurna team. The Annapurna team's future plans, including potential new IPs or projects, remain undisclosed, as does the new studio's name and overall direction.
The merger of Annapurna and Private Division's assets highlights the current gaming industry landscape, characterized by significant layoffs and studio closures in recent years. This situation, where one group of laid-off game developers takes over another's assets, reflects the industry's aggressive approach as investors retreat from high-risk, large-scale projects.
