Brooks McLaren has been tapped to pen the script and Ariel Vromen to direct the feature, said The Hollywood Reporter.
Titled "Rambo: New Blood", the new reboot would not see Stallone return as the action hero, like he did in the 2008 outing, but would see a younger actor inhabit the role.
The company is looking at Rambo as a character akin to James Bond.
Rambo was the lead character in a 1972 novel by David Morrell titled First Blood.
Hollywood adapted the book into the hit 1982 movie that starred Stallone in a story that despite its action trappings looked at issues facing disaffected Vietnam War vets.
Disclaimer: No Business Standard Journalist was involved in creation of this content