Kane Parsons in Talks With A24 on Three-Year $65M Deal That Would Include a ‘Backrooms’ Sequel

Kane Parsons was only 17 when he was brought on by A24 to direct “Backrooms,” which was inspired by the viral YouTube shorts he created. Three years later, “Backrooms” has shattered industry expectations, earning $360M worldwide against a scant $10M budget.

I’m sure the phone has been ringing off the hook for Parsons, who has become an overnight sensation in Hollywood—so much so that he and Curry Barker (“Obsession”) have effectively helped open the door for an innumerable number of YouTube creators to make the leap into the film industry.

Apparently, a sequel to “Backrooms” is now more likely than ever, as Parsons is currently in negotiations with A24 for a new deal.

Puck’s Matt Belloni reports that Parsons is currently in negotiations with A24 for a three-year first-look deal. One of the projects being discussed is a sequel to “Backrooms,” which Parsons already has an idea for.

Now, the deal is not set in stone. Other studios, such as Warner Bros., Universal Pictures, and Sony, have been trying to derail it, flying to California, where Parsons lives with his mother, in an effort to convince him to sign with them instead. One of the more amusing anecdotes from Belloni’s story involves the air conditioning in Parsons’ mom’s house not working, which led Warner Bros. to rent a hotel conference room to meet with him.

For now, A24 looks like the frontrunner. The studio is in pole position to seal the deal and win the Parsons sweepstakes, which, alongside the “Backrooms” sequel, would include an additional original film.

If the deal is signed, Parsons—or his mom—won’t have to worry about wonky air conditioning any longer, as the filmmaker is expected to receive a $65M payday for this three-year deal. On top of that, he will receive a bonus if he makes two movies within the three-year term of the agreement.

As for what that other “original” movie might be, word recently got out that Parsons and Osgood Perkins are teaming up on a new project. Perkins may be writing or co-writing it, but nothing has been confirmed.