A new deal has been finalized for a sequel to the hit summer film Scary Stories to Tell in the Dark, with director André Øvredal returning.

According to Deadline, Paramount Pictures will co-finance the sequel with eOne, which financed the original. The screenplay, also like the original, will be based on a story by the Guillermo del Toro and written by Dan Hageman and Kevin Hageman.

Related: Scary Stories to Tell in the Dark's Most Gruesome Moments

Scary Stories to Tell in the Dark is based on the iconic YA horror series of the same name. Taking place in a town called Mill Valley in 1968, a group of teenagers discovers a book of frightening stories written by a tortured girl. When read, the stories bring to life a host of haunting situations. The film's overall narrative provides a venue to adapt a number of short stories from the collections, including such entries as "Harold the Scarecrow" and the "Pale Lady."

In addition to the original Scary Stories, Øvredal is known for films such as the dark fantasy mocumentary Trollhunter and the horror film The Autopsy of Jane Doe. Hageman and Hageman, meanwhile are known for the Netflix animated series Trollhunters: Tales of Arcadia (created by Guillermo del Toro) and wrote the story for The LEGO Movie.

Scary Stories to Tell in the Dark opened to $20.91 million domestic and went on to gross $105.82 million worldwide on a $25 million budget. It's currently unknown if the sequel will follow the original's anthology-inspired format or what stories, if any, it will adapt.

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