Former Devs from Annapurna Helm New Studio

Summary

Former Annapurna Interactive employees have acquired Private Division, a studio previously owned by Take-Two Interactive. This follows a significant exodus of Annapurna Interactive staff 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, experienced a major restructuring in 2024. Private Division, established in 2017 and sold by Take-Two Interactive in November 2024, underwent substantial 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 employees have reportedly partnered to manage Private Division's existing portfolio, including Tales of the Shire (slated for March 2025), the Kerbal Space Program, and an unannounced Game Freak project.

Private Division's Transition Reflects Industry Trends

The September 2024 departure of most Annapurna Interactive employees followed unsuccessful negotiations with Annapurna Pictures CEO Megan Ellison. While Haveli's acquisition retained approximately twenty Private Division employees, further layoffs are expected to accommodate the incoming Annapurna team. The future direction of the combined entity, including its name and potential new projects, remains undisclosed.

This merger mirrors broader industry trends. The gaming sector has witnessed widespread layoffs and studio closures in recent years, driven by investor hesitancy towards large-scale, high-risk projects. The integration of two groups of displaced gaming professionals underscores the industry's current competitive landscape.