Hybrid is based on the comic book and original screenplay by Peter Kwong about vacationing college students who discover a seemingly abandoned trawler that houses a monster.
Filming is set to begin in South-East Asia off the coast of Thailand in mid-2008.
Myriad's President and CEO Kirk D'Amico and Studio 407's managing director Alex Leung are serving as producers.
'We're excited about the new project and feel it has the marketing potential and appeal to be a great horror franchise,' D'Amico said, adding that the producers were talking to a number of potential directors.
'It's a creature feature that has elements of humour and suspense,' Leung said. 'But it's also reminiscent of classic films such as Creature From The Black Lagoon and Jaws.'
The creature will not be brought to life by CGI and will instead be realized through a combination of Animatronics, make-up and costume. The comic book version of Hybrid will arrive in shops in June.