Summary
Former Annapurna Interactive employees have acquired Private Division, previously owned by Take-Two Interactive. The acquisition follows a mass exodus of Annapurna Interactive staff in September 2024 after contract disputes with Annapurna Pictures CEO Megan Ellison.
Annapurna Interactive, known for publishing acclaimed games like Stray, Kentucky Route Zero, and What Remains of Edith Finch, experienced significant internal upheaval in 2024. Private Division, established in 2017 and sold by Take-Two Interactive in November 2024, underwent substantial layoffs following the sale. The buyer remained anonymous initially.
According to journalist Jason Schreier, Haveli Investments, an Austin-based private equity firm, purchased Private Division. Haveli reportedly partnered with the former Annapurna staff to manage Private Division's existing portfolio, including Tales of the Shire (slated for March 2025), the Kerbal Space Program, and an unannounced Game Freak project.
Private Division's Restructuring Reflects Industry Trends
The September 2024 departure of most Annapurna Interactive employees followed failed negotiations with CEO Megan Ellison. While Haveli's acquisition saved approximately twenty Private Division employees, further layoffs are anticipated to integrate the Annapurna team. The new entity's name, future projects, and overall direction remain undefined.
This merger underscores the volatile gaming industry landscape. Recent years have witnessed widespread layoffs and studio closures, driven by investor hesitancy towards large-scale, high-risk projects. The integration of two groups of displaced game developers epitomizes the industry's current cutthroat climate.
