Take-Two sells Private Division label, confirms closure of OlliOlli World and Kerbal Space Program 2 studios
Six months after CEO insisted "We didn't shutter [them]".
Grand Theft Auto and Borderlands publisher Take-Two Interactive has announced the sale of its indie-focused publishing label Private Division. Additionally, the company has finally confirmed the closure of OlliOlli World developer Roll7 and Kerbal Space Program 2's Intercept Games, six months after CEO Strauss Zelnick insisted, "We didn't shutter those studios."
Take-Two announced the formation of Private Division back in 2017, specifically to publish games from smaller independent teams. Since then, it's released the likes of Obsidian Entertainment's The Outer Worlds and Moon Studios' No Rest for the Wicked, set up a new development team - Intercept Games - to create a sequel to Kerbal Space Program, and even acquired Roll7, which later released OlliOlli World and Rollerdrome.
However, 2023 brought word of layoffs at Private Division, and a flurry of reports this May suggested a major shift in strategy for the label. A previously announced publishing agreement with Silent Hill 2 Remake developer Bloober Team was cancelled, and mass layoffs were reported at Roll7 and Intercept Games - part of a five percent company wide reduction in staff - effectively bringing an end to the studios. That's despite CEO Strauss Zelnick later insisting, "We didn't shutter [them]". Shortly after, it was reported Take-Two was looking to sell Private Division amid word only a skeleton crew was left at the label to work on No Rest for the Wicked.
And now, as part of its Q2 2025 earnings report, Take-Two has confirmed the sale of Private Division. "We recently made the strategic decision to sell [the] label to focus our resources on growing our core and mobile businesses for the long-term," Zelnick said in prepared remarks. "As part of this transaction, the buyer purchased our rights to substantially all of Private Division's live and unreleased titles." However, Take-Two - which hasn't revealed Private Division's buyer - will continue to support No Rest for the Wicked despite the sale.
"The team of Private Division did a great job supporting independent developers and, almost to a one, every project they supported did well," Zelnick said in separate comments made to GamesIndustry.biz. "However, the scale of those projects was, candidly, on the smaller side, and we're in the business of making great big hits." Additionally, a Take-Two spokesperson confirmed that Roll7 and Intercept Games were closed prior to the sale of Private Division.