Paramount's new genre label, Paramount Primal, has acquired the U.S.

rights to develop a new film based on the original screenplay for "A Nightmare on Elm Street." This development marks a significant move for the iconic horror franchise, bringing Freddy Krueger back to the big screen under new creative stewardship.

The domestic rights were secured from the Wes Craven estate, which includes Craven's widow, Iya Labunka, and son, Jonathan Craven.

Both Labunka and Craven will serve as producers on the project, alongside Marc Toberoff, an attorney who assisted the family in regaining ownership of the initial film.

This collaboration suggests a commitment to honoring the legacy of the original creator while introducing the series to a new generation.

While plot specifics remain under wraps, the untitled film is confirmed to be set within the established universe of "A Nightmare on Elm Street" and will draw inspiration from the 1984 original.

This means the return of the infamous child killer, Freddy Krueger, known for his burned visage and metal-clawed glove.

Paramount Primal, the studio's recently announced genre label, is spearheaded by J.D.

Lifshitz and Raphael Margules, a producing duo recognized for their work on films such as "Weapons," "Barbarian," "Companion," and "Friendship." Lifshitz and Margules will also executive produce the new "Nightmare on Elm Street" project.

Iya Labunka expressed enthusiasm for the partnership, stating, "Jonathan and I are so excited to be partnering with J.D.

and Rafi along with the terrific team they’ve assembled at Paramount Primal.

We look forward to bringing the world of Wes Craven’s ‘Nightmare on Elm Street’ to a new and completely engaged generation of fans." She added that Wes Craven would have been pleased to see horror's growing cultural recognition.

Paramount Primal aims to collaborate with both emerging and established filmmakers to produce smartly budgeted films across various genres, including horror, comedy, action, and science fiction.

This new "Nightmare on Elm Street" installment will be the ninth film featuring Freddy Krueger, who has also appeared in a TV series and video games.

The character's last cinematic appearance was in the 2010 reboot, which grossed over $117 million globally.