Ex-Annapurna Team Unveils Private Division

Summary

Former Annapurna Interactive employees have acquired Private Division, a studio previously under Take-Two Interactive's ownership. The acquisition follows the departure of most Annapurna Interactive staff in September 2024 after negotiations with Annapurna Pictures CEO Megan Ellison failed.

Annapurna Interactive, known for publishing acclaimed games like Stray, Kentucky Route Zero, and What Remains of Edith Finch, saw its workforce significantly reduced in 2024. Private Division, established in 2017, was sold by Take-Two Interactive in November 2024, resulting in widespread layoffs. The buyer remained anonymous until recently.

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

Private Division's Restructuring Reflects Industry Trends

The mass exodus from Annapurna Interactive stemmed from failed negotiations with CEO Megan Ellison. While Haveli's acquisition retained roughly twenty Private Division employees, some are expected to be let go to accommodate the incoming Annapurna team. The future direction of the combined entity, including its name and potential new projects, remains undefined.

This merger mirrors the wider gaming industry's recent turbulent period, marked by significant layoffs and studio closures. The integration of two groups of previously laid-off employees underscores the industry's aggressive approach, driven by investor hesitancy towards high-risk, large-scale projects.