Akhanda 2 Deferred as Producers, Bigwigs Parleys Go in Vain

The much-hyped Balakrishna starrer Akhanda 2 has been deferred due to financial issues involving financiers, cine workers, and an audio company. “Industry bigwigs burned the midnight oil to release the film on December 5 and held negotiations with financiers, workers’ unions and the audio company, but in vain,” says a source.

Initially, the producers held discussions with financiers over old dues. “After many deliberations, the financiers reduced some costs and agreed to a one-time settlement of Rs 30 crore, assuring that they would permit the release,” he adds.

However, the Telugu Film Cine Workers Union reportedly raised objections, citing Rs 2.5 crore in pending payments to various crew members. A noted audio company also demanded Rs 20 crore as pending share for music rights of Mahesh Babu films such as Dookudu, 1 Nenokkadine and others. “They were supposed to receive a share of revenues earned through playing songs on their channel, and this issue added to the producers’ woes,” the source explains.

In total, the producers must clear around Rs 52 crore plus, including the Rs 30 crore owed to Eros Film International, which has moved the Madras High Court and halted both theatrical and OTT release. “They are planning to settle the issue out of court and secure clearance from Eros. They will also negotiate with others in the meantime to release the film in a week or two, if everything falls in place,” he points out.

Akhanda was a sensational hit a few years ago, and the sequel triggered massive trade interest. The film was reportedly sold for Rs 180 crore, including Rs 110 crore in theatrical rights and a Rs 70 crore OTT deal, ensuring early profits. “Producers are sure about Akhanda 2 rockng the box office since it had universal themes hailing Hinduism culture and traditions until these old issues came back to haunt them,” the source notes.

A top producer says the Akhanda 2 row should be an eye-opener for the industry. “Producers need to cut down budgets, and big stars and directors must reduce their fancy remunerations to allow producers to breathe easy. Otherwise, many will be pushed to the brink,” he warns.

Earlier, speaking to Deccan Chronicle, producer C Kalyan had hinted at an impending crisis. “Out of nearly 4,000 registered producers, only about 20 remain active. The rest have gone dormant, burdened by debts and unpaid dues. I have a list of producers who are struggling after investing heavily in films with top stars over the past two decades” he says.

He adds that the massive successes of Pushpa and Kalki 2898 AD are rare exceptions in an otherwise bleak Tollywood landscape. “With OTT, Hindi dubbing and non-theatrical rights losing value, even top producers are struggling to sustain themselves. A few may appear stable, but with the current wave of losses—even in star-studded films—it’s uncertain how long they can survive,” he concludes.