A follow-up to Labyrinth, the 1980s musical fantasy film that starred the late David Bowie as a villainous Goblin King, is in the works.

According to the Hollywood Reporter, film-maker Fede Alvarez will write and direct the film, while Lisa Henson, daughter of the original film’s director Jim Henson, will produce.

Released in 1986, Labyrinth starred Jennifer Connelly as Sarah, a teenager who has to journey through a magical realm to free her brother after he is kidnapped by Bowie’s Goblin King Jareth. Along the way, Sarah encounters a number of puppet creatures, produced by special effects company Jim Henson’s Creature Shop. The film was a notable box-office flop at the time of release but has since gained a large cult following; a Labyrinth-themed masquerade ball is held each year in Los Angeles.

A possible remake of the film has been long been rumoured. Last year, Guardians of the Galaxy screenwriter Nicole Perlman denied that she was working on a new version of the film, after reports of a reboot surfaced in the weeks following Bowie’s death. Perlman expressed anger at the implication that she would seek to profit from Bowie’s death, describing the timing of the reports as “like a punch in the gut”.

The Hollywood Reporter article suggests that the new Labyrinth film would be a continuation of the previous film’s story, rather than a reboot or remake. Bowie’s character would not feature in the film.

Uruguayan film-maker Alvarez is best known for directing the 2013 remake of Sam Raimi’s supernatural horror film Evil Dead as well as Don’t Breathe, which became a surprise sleeper hit in 2016. The director is currently working on The Girl in the Spider’s Web, a sequel to psychological thriller The Girl With the Dragon Tattoo. Alvarez will begin work on Labyrinth once The Girl in the Spider’s Web, scheduled for release in October next year, is completed.