Blumhouse is teaming up with The Blair Witch Project‘s co-director Eduardo Sanchez on the new horror movie Sevenfold. Story details are being kept under wraps for the micro-budget feature written by Jaime Nash. Mark Ordesky, Jane Fleming and Gregg Hale are producing. Meanwhile at SXSW, Blumhouse has three movies – Hush, In A Valley of Violence and Alive and Kicking, a swing dance doc directed by Susan Glatzer. The debut screening of it just ended and the audience burst into applause. Blumhouse is currently fielding offers for the hot acquisition title, Deadline said.

Sanchez’s last feature, the Bigfoot feature Exists was acquired out of SXSW by Lionsgate two years ago. Sanchez has been directing in the TV arena lately on El Rey’s From Dusk Till Dawn and BBC America’s The Intruders. Sanchez co-wrote and directed 1999’s The Blair Witch Project with Daniel Myrick. They made the movie for a reported $60K and its docu-found footage-shaky camera style started a horror revolution. The film grossed close to $250M worldwide, $140M alone from U.S./Canada ticket sales. Next up for Blumhouse is The Darkness on May 13 from BH Tilt and High Top Releasing, The Purge: Election Year via Universal on July 1 and Ouija 2 on Oct. 21.