Mumbai: In perhaps the biggest pan-India sale of land, over 4,700 acres held by the Sahara Group across 14 states have been put on the block by HDFC Realty and SBI Capital Markets. The sale is expected to fetch around Rs 6,500 crore.
Sahara claims it has a total land bank of 33,633 acres. Of this, Aamby Valley City near Lonavala accounts for 10,600 acres. About 1,000 acres is spread across towns and cities of Uttar Pradesh (the company is headquartered in Lucknow).
Early this month, the Supreme Court released Sahara chief Subrata Roy and group director Ashok Roy Choudhary on parole for four weeks. Roy has been in Tihar jail since March 2014 after Sebi dragged the group to court. The court said Sahara could sell its properties to raise Rs 5,000 crore as a bank guarantee and another Rs 5,000 crore to get bail.
Market regulator Securities and Exchange Board of India (Sebi) has given HDFC Realty and SBI Capital Markets the mandate to auction 60 properties across the country following a directive from the Supreme Court.
The auctioneers are hopeful of receiving over Rs 6,500 crore from the 60 properties. However, market sources pointed out that large chunks of the land are agricultural and are located in rural areas, which could affect the amount eventually raised.