Zelnick commented on the Private Division sale, stating, "Those projects were smaller, we're in the business of big hits"
Take-Two Interactive has announced the sale of the indie-focused division, Private Division, to a buyer whose identity remains undisclosed. This shift allows Take-Two to concentrate more on its major projects.
The company shared these details in conjunction with their latest financial outcomes. The transaction includes both live and upcoming games under Private Division's umbrella.
Despite the sale, Take-Two will maintain support for Moon Studios' action RPG, No Rest for the Wicked, which entered PC's Early Access in April.
Strauss Zelnick, CEO of Take-Two, mentioned to GamesIndustry.biz that information about the acquisition would be shared "relatively soon."
The possibility of Private Division's closure or sale surfaced in June, shortly after reports emerged about Take-Two allegedly closing Roll7 and Intercept Games amid significant layoffs.
It has also been reported that Private Division terminated its publishing agreement with Bloober Team, developers of the Silent Hill 2 remake.
In discussing the rationale behind selling Private Division, Zelnick conveyed to GamesIndustry.biz that the decision aligns with an overarching plan to strengthen their foothold in AAA and mobile markets.
"By making this strategic decision, we're able to allocate our resources effectively towards expanding our core and mobile operations for sustainable growth," he stated. "We're adept at delivering substantial AAA experiences. We possess some of the largest intellectual properties globally and aim to continue developing sequels for established series while introducing new successful titles."
Despite Zelnick's clarification that neither Roll7 nor Intercept Games had officially been closed, a WARN notice suggested Intercept was set to shut down in July following extensive layoffs.
A Take-Two spokesperson later confirmed to GamesIndustry.biz that both studios were indeed closed before the Private Division sale went through.
The events at Private Division occurred after Take-Two revealed in April its plan to trim 5% of its workforce as part of the company's third cost-cutting strategy within the year.
