Annapurna Interactive Veterans Acquire Private Division
Former employees of Annapurna Interactive have acquired Private Division, a studio previously owned by Take-Two Interactive. This 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. Similarly, Private Division, established in 2017 and sold by Take-Two Interactive in November 2024, experienced substantial layoffs following the sale. The buyer remained anonymous until recently.
According to journalist Jason Schreier, the buyer is reportedly Haveli Investments, an Austin-based private equity firm. Haveli has partnered with the former Annapurna staff to manage Private Division's existing game portfolio. This includes the anticipated March 2025 release of Tales of the Shire, the long-running Kerbal Space Program, and an unannounced title from Pokémon developers Game Freak.
Industry Instability Continues
The mass exodus from Annapurna Interactive in September 2024, following disagreements with CEO Megan Ellison, paved the way for this acquisition. While Haveli's purchase of Private Division retained approximately twenty employees, further layoffs are expected to integrate the Annapurna team. The future direction of the combined entity, including potential new IPs or projects, remains uncertain. The studio's new name and overall vision are yet to be announced.
This merger reflects the current instability within the gaming industry. Recent years have witnessed widespread layoffs and studio closures. The acquisition of Private Division by a group of former employees from another struggling publisher highlights the industry's challenging climate, marked by investor hesitancy towards large-scale, high-risk projects.
