That’s what happens when a company co-founded by Michael Bay makes an action-packed adaptation of a classic German fairy tale. Hansel and Gretel in 3D! is being prepped right now.

So says Coming Soon, who has revealed that the film will not only feature a witch with the taste for fat kids but legendary creatures from German mythology. The Gods and beings that threaten our heroes will be designed by Joseph C. Pepe, the lead character designer from Avatar. Check out the teaser poster but don’t be fooled by the look- this will be an effects-laden live action film.

Nice Harry Potter font, eh?

The Institute is a production company co-founded by Michael Bay and Scott Gardenhour that’s specialized in ad campaigns- this is their first feature film. Hansel and Gretal in 3D! is also being co-produced by Kalliope films. It’s scheduled for a spring 2011 shoot on location in Germany.