Lokesh-Allu Arjun’s AA23: Biggest Bet on Box Office?

Allu Arjun and Lokesh Kanagaraj's AA23

Allu Arjun’s collaboration with Lokesh Kanagaraj is becoming one of the most interesting pan-India projects. After reports of creative differences and speculation that the project might be shelved, the latest industry buzz suggests that AA23 is finally moving forward with its story and screenplay locked.

According to reports from the Tamil industry, Allu Arjun was impressed with the final narrative and agreed to proceed only after the screenplay was completed. The pre-production work is progressing, with the makers reportedly planning to begin shooting in early 2027.

However, the reported business arrangement is grabbing as much attention as the film itself. Allu Arjun is said to be receiving Rs. 175 crores as remuneration along with a 33% share in the film’s net profits. Lokesh Kanagaraj will reportedly get Rs. 70 crores and another 33% profit share, while Mythri Movie Makers will retain the remaining 33%.

Importantly, these percentages are reportedly based on net profits after recovering the entire investment, not on total box-office collections.

Profit-sharing arrangements are not new to Allu Arjun. His business model for the Pushpa films and reports about his upcoming collaboration with Atlee have already attracted attention. AA23 appears to follow a similar approach, giving Bunny a substantial stake in the project’s success.

The film is reportedly being planned as a gangster drama. Gangsta is said to be among the titles under consideration. Anirudh will compose the music.

The bigger challenge for Lokesh is to deliver a screenplay that justifies the scale of this collaboration. With Allu Arjun’s pan-India market and Lokesh’s brand coming together, expectations will be enormous.