New Delhi: Sahara Group’s realty firm Sahara Prime City, which aims to raise Rs3,450 crore from an initial public offer, will utilise Rs2,668 crore in the next three years to part-fund development of about 19,000 housing units across the country.

The company, which filed the Draft Red Herring Prospectus (DRHP) with the market regulator SEBI last week, would invest Rs1,240.87 crore raised from the IPO to complete 10 existing projects, comprising 12.02 million sq ft of saleable area.

At present, Sahara Prime City is developing nine integrated townships and one residential complex in cities such as Lucknow, Indore, Nagpur, Ahmedabad, Jaipur, Solapur and Cochin. The group’s ambitious Ambey Valley project is not a part of Sahara Prime City.

Besides the existing projects, Sahara Prime City plans to develop 16 more integrated townships and would pump in another Rs1,426.83 crore from the proceeds of the IPO.

The DRHP said it would develop 13.41 million sq ft of residential space in the upcoming projects across the country, including Bangalore, Chandigarh, Jabalpur, Jodhpur, Porbandar, Haridwar and Pune.

The company, which has a land bank of over 8,000 acres with saleable area of 419 million sq ft, plans to develop 88 integrated townships under ‘Sahara City Homes´ brand and 15 housing projects under ‘Sahara Brace´ brand across 99 cities.

Sahara Prime City would be the third Sahara group entity to enter the capital market after Sahara Housingfina Corp Ltd and Sahara One Media & Entertainment.