Pre-production will begin in January 2017 on the animated sequel, again directed by Richard Starzak.

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Aardman and StudioCanal are re-teaming on Shaun The Sheep Movie 2, the sequel to their 2015 animated feature hit, which earned $106m at the global box office.

StudioCanal is co-financing and will distribute in its own territories, the UK, France, Germany, Australia and New Zealand, selling other international territories at the forthcoming AFM.

The first film’s creative team of director Richard Starzak and producer Paul Kewley will reunite for the sequel.

Pre-production will begin in January 2017.

David Sproxton, co-founder and executive chairman at Aardman, said: “Shaun’s move to the big screen proved such a success with audiences around the world that he and the flock are very excited to be embarking on another big screen adventure. Aardman is partnering with StudioCanal once again to produce another rip-roaring comedy, featuring Shaun and the rest of the gang in a story that takes them to even greater heights of lunacy.”

Ron Halpern, EVP of international productions and acquisitions for StudioCanal, added: “All of us here at StudioCanal are Aardman fans.  To get to see the wonderful way they work in Bristol as they have for 40 years now through to the first Shaun The Sheep Movie was an experience we will always cherish. Luckily we get to start again with what will definitely be another film showcasing Aardman’s unique humour, creativity and craftsmanship.”

Shaun The Sheep Movie 2 joins another hotly anticipated family sequel — Paddington 2 — on StudioCanal’s slate.