Varun Tej is now facing the challenge of producers backing out of his projects.
Many production houses have come to realize that he struggles to sustain projects with budgets exceeding ₹25 crore.
With his non-theatrical revenue significantly reduced and theatrical collections too low to make an impact, production houses are hesitant to invest heavily in his films.
Films like Gandeevadhari Arjuna, Operation Valentine, and Matka resulted in substantial losses for their producers, with the recent Matka emerging as the biggest box office failure among them.
As a result, his upcoming projects are encountering considerable difficulties.
Two production houses that had initially shown interest in producing his next films have now withdrawn their support.