Originally, Divergent: Ascendant was set to be a film released in cinemas in June 2017, but the weak box office performance of the most recent chapter Allegiant led Lionsgate to cut the budget for the upcoming film.

"The budget for the next one will be reduced [compared to the previous film]", a well-placed production source told The Hollywood Reporter.

"The haven't said by how much," the source added, but it is expected several millions of dollars will be slashed.

Though sources estimated Allegiant's budget was $110 million, negotiations for the upcoming picture are still in the "early stages" and no final budget has yet been determined.

Divergent series producer and distributor Lionsgate also scheduled heavy-hitting movies World War Z 2 and a reboot of The Mummy to debut in June 2017, which would have squared with the Divergent film.

Though the plan is to conclude the series on television, which would then lead into a spinoff series, Lionsgate's television group has reportedly not yet pitched the project to any networks.

Unlike the first two Divergent films which were blockbuster hits, Allegiant stumbled at the box office opening to a lacklustre $29 million.

This represented a 46 per cent decline from the first film's $54.6 million box office takings in 2014, and a 44 per cent drop from the sequel Insurgent, which took in $52.3 million.

It has not been confirmed whether Shailene Woodley or other members from the original cast will reprise their roles for the TV movie, but Lee Toland Krieger is on board to direct the film after Robert Shwentke left the project earlier this year.