Ex-Annapurna Interactive Staff Take Over Private Division

Executive Summary

Following a breakdown in negotiations with Annapurna Pictures CEO Megan Ellison, the majority of Annapurna Interactive's staff departed in September 2024. These former employees have now acquired the operational reins of Private Division, a studio previously under Take-Two Interactive's ownership.

Annapurna Interactive, prior to its 2024 restructuring, successfully published acclaimed titles including Stray, Kentucky Route Zero, and What Remains of Edith Finch. Private Division, established in 2017, was sold by Take-Two Interactive in November 2024, with the buyer and the studio's future uncertain. The sale resulted in significant layoffs.

Acquisition Details and Future Plans

Reputable gaming journalist Jason Schreier reports that Haveli Investments, an Austin-based private equity firm, is the undisclosed buyer of Private Division. Haveli and the former Annapurna staff have reportedly forged an agreement to manage Private Division's existing portfolio, encompassing titles such as the anticipated Tales of the Shire (March 2025 release), the established Kerbal Space Program, and an unannounced project from Game Freak.

Further Industry Instability

The September 2024 departure of most Annapurna Interactive employees followed failed negotiations with CEO Megan Ellison. While Haveli's acquisition retained approximately twenty Private Division employees, some are expected to be let go to accommodate the incoming Annapurna team. The new entity's name, long-term strategy, and potential for new IP remain undisclosed.

This merger of former Annapurna and Private Division staff mirrors the broader gaming industry's recent instability, marked by widespread layoffs and studio closures. This situation, where one group of displaced game developers absorbs another, underscores the industry's increasingly cutthroat environment as investors retreat from high-risk, large-scale projects.