Ex-Annapurna Staff Launch Private Division

Summary

Former Annapurna Interactive employees have acquired Private Division, a studio previously under Take-Two Interactive's ownership. This follows a mass exodus from Annapurna Interactive in September 2024 after negotiations with CEO Megan Ellison failed.

Annapurna Interactive, known for publishing acclaimed games like Stray, Kentucky Route Zero, and What Remains of Edith Finch, saw its staff depart en masse. Private Division, established in 2017, was sold by Take-Two Interactive in November 2024, resulting in significant 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 employees have reportedly partnered to manage Private Division's remaining titles, 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 September 2024 departure of most Annapurna Interactive staff followed a breakdown in negotiations with Annapurna Pictures. While Haveli's acquisition retained 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 highlights the volatile games industry landscape. Years of widespread layoffs and studio closures have led to a situation where one group of displaced game developers is absorbing another. This reflects the industry's increasingly aggressive approach as investors shy away from high-risk, large-scale projects.