Why UltraTech's cables foray won't jolt rivals just yet

Markets hate uncertainty and UltraTech Cement just delivered a truckload. Its big ticket entry announcement into cables and wires has rattled investors of industry incumbents, sending shares of Polycab and KEI Industries tumbling by around 20 per cent in the last few days. The fear is not without reason. The move is reminiscent of Grasim's, another Aditya Birla Group giant like UltraTech, foray into the paints industry, which sounded alarm of market disruption. So, is the panic justified? We assess what UltraTech's entry could mean for the industry.