Filmmaker Deepa Mehta said after meeting with the famed writer in Toronto, the pair agreed to collaborate on a moview of Rushdie's 1981 book, the Canadian Broadcasting Corp. said Saturday.
"If I was doing it myself, it would be rather daunting," Mehta said. "The fact that we like and respect each other is a good foundation for collaboration."
Rushdie's "Verses" gained instant notoriety in 1988 after Muslim leaders criticized the book for alleged blasphemous entries it contained.
"Children" was received better by critics worldwide, earning numerous awards, including the 1981 Commonwealth fiction award and the Booker of Bookers trophy.
The book follows a character who was born when India first gained independence and who believes he is the incarnation of India because of special powers he possesses, the CBC said.