The cable industry is under significant pressure. Stocks like KEI, Polycab, Finolex down as much as 14% as the sector is worried about further disruption. Close on the heels of the Aditya Birla Group announcing its foray into the wires and cable sector, Adani Group is set to enter this space as well.
Adani Enterprises in an exchange filing said that its wholly owned subsidiary Kutch Copper has incorporated a joint venture firm ‘Praneetah Ecocables’, holding a 50% stake in it. The company will manufacture, market, distribute, buy and sell metal products, cables and wires.
Following this, the share price of the companies in the cable and wire space such as KEI Industries, Polycab India, Havells India. slumped up to 16% intra-day.
The share price of Finolex Cables fell 5% to the day’s low of Rs 874.65 on the National Stock Exchange. At 2 PM, Polycab India’s shares were trading 8.3% lower at Rs 4,985.75.
However, there was not much of a movement seen in the share price of Adani Enterprises as they rose 1.2% to an intra-day high of Rs 2,348 in Thursday’s trade. “We would like to inform that Kutch Copper (“KCL”), a wholly owned subsidiary of the company has completed the incorporation process of a joint venture company namely “Praneetha Ecocables” (“PEL”) on 19th March 2025 (confirmation of the same has been received by the Company on 19th March 2025 at 2:34 pm IST) with Praneetha Ventures Private Limited, KCL shall hold 50% Equity Share Capital of PEL,” read an exchange filing.
Earlier, in the first week of March, UltraTech Cement laid out its expansion plan in the wires and cables business with an expenditure of Rs 1,800 crore for the next 2 years. UltraTech plans to establish a cables and wires manufacturing facility close to Bharuch in Gujarat, with commissioning anticipated by December 2026.
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