Executive Summary
Former Annapurna Interactive employees have acquired Private Division, a former Take-Two Interactive subsidiary. This follows a mass exodus from Annapurna Interactive in September 2024 after negotiations with CEO Megan Ellison failed.
Following a significant restructuring in 2024, Annapurna Interactive, known for publishing acclaimed titles like Stray, Kentucky Route Zero, and What Remains of Edith Finch, saw its staff depart. Private Division, established in 2017, was sold by Take-Two Interactive in November 2024, with the buyer and future of the studio initially unknown. The sale resulted in widespread layoffs.
According to 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 remaining projects, including Tales of the Shire (March 2025 release), Kerbal Space Program, and an unannounced Game Freak title.
Private Division's Transition Reflects Industry Instability
The September 2024 departure of most Annapurna Interactive employees followed unsuccessful negotiations with Megan Ellison. While Haveli's acquisition retained approximately twenty Private Division employees, further layoffs are anticipated to accommodate the incoming Annapurna team. The new entity's name, long-term strategy, and IP acquisition plans remain undisclosed.
This merger mirrors the broader gaming industry's recent instability, characterized by extensive layoffs and studio closures. The integration of two groups of displaced gaming professionals underscores the industry's aggressive approach, driven by investor hesitancy towards high-risk, large-scale projects.
