The film revolves around two young soldiers (Sheridan and Poulter) who are taken under the wing of an older sergeant (Cumberbatch) as they are deployed to Iraq, reported Variety.
The project is financed by Courtney Solomon and Mark Canton's Cinelou Films in a partnership with Story Mining and Supply Co.
David Lowery ('Ain't Them Bodies Saints') will direct the film from his own script.
'The Yellow Birds' was published in 2012 and was a finalist for the National Book Award.
"It is about characters who find themselves caught up in war, but who struggle to not let it define them. I fell in love with them. It is a beautiful and deeply personal tale, relayed through images and memories, and I am excited to have the chance to bring it to the screen," Lowery said.