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The entertainment outlet reports that Netflix has ordered 10 episodes of the show, which will be a 'multi-cam sitcom like the original'.
Kurtwood Smith and Debra Jo Rupp, who played Eric Forman's parents Red and Kitty in That '70s Show, are due to return in the new series, while original series creators Bonnie Turner and Terry Turner are on board as writers and executive producers alongside their daughter Lindsey Turner.
Variety reports that the show will be set in 1995, adding of the premise: "Leia Forman, daughter of Eric and Donna, is visiting her grandparents for the summer where she bonds with a new generation of Point Place, WI, kids under the watchful eye of Kitty and the stern glare of Red."
Gregg Mettler, who worked on the original series, is also writing while serving as executive producer and showrunner, with Smith, Rupp and Marcy Carsey and Tom Werner of The Carsey-Werner Copmany named as further executive producers.
Deadline reports that there are 'no deals in place' with any other stars from the original show, but there are 'expectations' that a number of them - such as Topher Grace, Laura Prepon and Ashton Kutcher - will reprise their roles with guest appearances.
That '70s Show launched in 1998 and ran for eight seasons until 2006, telling the lives of six teenagers who lived in the fictional Wisconsin town Point Place.
It helped launch the careers of several stars, including Ashton Kutcher and Mila Kunis.
There was once another instalment with That '80s Show, which aired in 2002 and was set in San Diego in 1984.
However, this was not a direct spin-off as characters and storylines from the previous show never crossed paths - although it did feature Corey Howard (Glenn Howerton), who was Eric's first cousin.
After failing to garner the same wide audience as its predecessor, the show was cancelled the same year it premiered.
LADbible has reached out to Netflix for comment.
Here's hoping the new concept has better success in the reliable hands of streaming giant Netflix.
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