Henson himself passed away in 1990, though The Jim Henson Company will be involved in the Labyrinth sequel, co-producing it with TriStar.
Many of Henson’s productions, including Labyrinth and The Dark Crystal, had darker undertones, and Alvarez seems fully equipped to maintain that darkness while imbuing the film with a hint of whimsy.
Based on Deadline’s report, it seems Alvarez and Basu’s entry in Henson’s Labyrinth universe will tell a new story – presumably one that doesn’t include Sarah or Jareth since, although Connelly could theoretically reprise her role, Bowie passed away in 2016.
Beyond those details, though, little is known about Alvarez and Basu’s sequel.