Private Division Welcomes Former Annapurna Interactive Team

Summary

Former Annapurna Interactive employees have acquired Private Division, a studio previously owned by Take-Two Interactive. The acquisition follows the departure of most Annapurna Interactive staff in September 2024 after negotiations with their CEO failed.

Annapurna Interactive, known for publishing acclaimed games like Stray, Kentucky Route Zero, and What Remains of Edith Finch, experienced a significant staff exodus. Private Division, established in 2017 and sold by Take-Two Interactive in November 2024, also underwent layoffs following the sale. The buyer remained anonymous until recently.

According to journalist 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 existing game portfolio, including Tales of the Shire (March 2025 release), Kerbal Space Program, and an unannounced Game Freak project.

Private Division's Restructuring Reflects Industry Trends

The mass exodus from Annapurna Interactive in September 2024 stemmed from unsuccessful negotiations with CEO Megan Ellison. While Haveli's acquisition retained around twenty Private Division employees, further layoffs are anticipated to integrate the Annapurna team. The future direction of the combined entity, including its name and potential new projects, remains uncertain.

This merger underscores the challenging climate in the gaming industry, marked by widespread layoffs and studio closures in recent years. The integration of two groups of previously laid-off employees symbolizes the industry's current harsh realities, driven by investor hesitancy towards high-risk, large-scale projects.