In a stunning setback for Tollywood, the much-awaited pan-India spectacle Akhanda 2 – Thaandavam, starring Nandamuri Balakrishna and directed by Boyapati Sreenu, has been halted indefinitely just hours before its scheduled release. What should have been a celebratory moment for fans has now spiralled into one of the industry’s most dramatic release-day collapses in recent years.

The makers released an emotional statement expressing regret, assuring that “unavoidable circumstances” forced the postponement and promising a positive update soon. However, the lack of clarity over the reasons has intensified frustration, with many fans and industry insiders blaming the producers for severe mismanagement. With premieres locked, special shows planned, and promotional events underway, the sudden cancellation has led to heavy financial and operational losses for distributors and theatre owners.

While initial speculation pointed to internal delays, the real shock emerged when it became clear that Akhanda 2 was ensnared in a decade-old legal battle unrelated to its production. The dispute stems from a 2015 agreement between Eros International and 14 Reels Entertainment during the Aagadu and 1 Nenokkadine era. After years of litigation, an arbitral tribunal in 2019 ordered 14 Reels to pay over ₹11 crore with interest and refrain from dealing with those films — or any new films tied to the agreement — until dues were cleared. Despite the Supreme Court upholding the award in 2021, no payment was made.

The dormant case resurfaced in 2025 when Eros discovered that Akhanda 2 was being released under 14 Reels Plus LLP, which they argued was simply a rebranded extension of the original company. A petition was filed seeking to stop the film’s release. Though a single-judge bench initially dismissed Eros’ plea, the Division Bench reversed the ruling and froze the release until the entire amount is paid.

As a result, a film featuring stars like Samyuktha and Aadhi Pinisetty, backed by massive production values and even a 3D release plan, now finds itself locked out of theatres. Fans remain divided—some urging a quick resolution for an immediate release, others suggesting a strategic shift to Sankranthi 2026.

For now, Akhanda 2 stands stranded between legal complications and production lapses, its fate hinging on whether the producers settle a decade-old debt.

Overseas screenings in jeopardy

Though the team of Akhanda 2 is trying to resolve the issue quickly, the delay has created a major setback for the film’s overseas plans. Because the movie didn’t arrive as scheduled, several theatres reserved by overseas distributors have now been allotted to Zootopia 2 and Wicked: For Good for the weekend. Even if the makers attempt a late release, Akhanda 2 won’t secure enough screens in North America.

With the first film earning over $1 million, expectations for the sequel were high. Now, distributors are likely to face losses. The earliest feasible overseas release appears to be December 12, but competition will intensify with Avatar: Fire and Ash releasing on December 19.