Bay, 50, who has directed all the films in Transformers series confirmed the news, said The Hollywood Reporter.
However, the "Pearl Harbor" helmer said that he is willing to pass on the director's cap to someone as this will be his last Transformers movie.
"Transformers, I still have a great time," he said. "It's fun to do a movie that 100 million people will see. But this is the last one. I have to pass the reins to someone else," he said.
Paramount Pictures recently organised sessions with writers to create a new direction for the franchise, with the new script being written by Art Marcum and Matt Holloway along with Ken Nolan.
The new movie is an attempt to create a greater cinematic universe for Transformers.
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