Oscar winning movie Coco has got a nod for the sequel with the original director returning for the second part, which will release in 2029.
Director Lee Unkrich and co-director Adrian Molina will return for the sequel of Coco, Disney confirmed.
According to a report in The Hollywood Reporter, Coco 2 is likely to release in 2029.
The piece of news was shared by Disney CEO Bob Iger at the company's Annual Shareholder Meeting.
The project is in its early stages, "While the film is just in the initial stages, we know it will be full of humour, heart, and adventure, and we can't wait to share more soon," Iger said.
Mark Nielsen, who previously worked on Toy Story 4 and Inside Out 2, will be the producer for the much awaited movie.
Coco, which released in 2017, was an instant hit and it earned widespread acclaim for its vibrant animation, rich cultural storytelling, and unforgettable music.
Coco follows the journey of Miguel, a 12-year-old boy, who dreams of becoming a musician, but is accidentally transported to the 'Land of the Dead.' There, he gets to meet his great-great-grandfather, who was killed by a renowned musician and how he gets the family to love him and get his respect back.
Coco won many prestigious awards, including two Oscars - one for Best Animated Feature and another one for Best Original Song for Remember Me, composed by Robert Lopez and Kristen Anderson-Lopez.
Coco also earned a Golden Globe for Best Motion Picture-Animated, a BAFTA for Best Animated Film, and several Critics' Choice Awards.
Reports suggest that Disney is also working on a Coco-themed ride-through attraction for Disney California Adventure.
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