"'Baahubali 3' is on cards. But the story that's written for the two parts will not be dragged for the sake of it. This story will conclude with the second part itself (sic)," Rajamouli posted on his Twitter page.
He added that "Baahubali 3" will be done in a way that audiences have never experienced via films before.
According to an industry source, Rajamouli is planning a spin-off on "Baahubali".
"He's planning to work on a prequel to 'Baahubali'. It could be a spin-off on the franchise itself," a source close to the filmmaker told IANS.
Meanwhile, Rajamouli will resume filming "Baahubali 2" from mid-November or early December.
He has already completed 40 percent of shooting of the second part.
The film features Rana Daggubati, Prabhas, Tamannaah Bhatia, Anushka Shetty, Ramya Krishnan and Sathyaraj in important roles.
