Annapurna Interactive’s entire gaming staff has resigned from the company following a leadership dispute, according to a Bloomberg report.

The report, which IGN can confirm based on conversations with our own sources, states that Annapurna Interactive president Nathan Gary had recently been in negotiations with Annapurna founder and billionaire Megan Ellison to spin the gaming segment off as its own company. However, Ellison eventually pulled out of negotiations, at which point Gary resigned. Almost 30 other individuals, including division co-heads Deborah Mars and Nathan Vella, as well as the entire remaining staff of Annapurna Interactive, joined him.

While negotiations were still ongoing, Annapurna Interactive re-hired former Epic Games executive Hector Sanchez as its president of interactive and new media, and Paul Doyle as its head of strategy. IGN understands that Sanchez was expected to head up Annapurna’s gaming efforts in Gary’s absence once his part of the company was spun-off. With Gary now having resigned, Sanchez has taken the lead.

As Bloomberg reports and IGN has also heard, Sanchez has spoken with partner developers this week to reassure them that Annapurna will continue its existing contracts and replace departed staff.

Annapurna Interactive, a division of Annapurna Pictures, has become known for its publishing catalogue of boutique, critically-acclaimed indies. In recent years, the label has seen success and awards for games like Cocoon, Stray, Neon White, The Artful Escape, Sayonara Wild Hearts, and more. Just last month, the company partnered with Alan Wake 2 developer Remedy Entertainment to fund its ongoing development efforts as well as make TV and film versions of its IP. However, Annapurna Interactive has also been the subject of an investigative report by People Make Games alleging it supported multiple company founders known to be creating toxic work environments at partner studios.

Rebekah Valentine is a senior reporter for IGN. Got a story tip? Send it to [email protected].