Fate calls for prince Baahubali and his brother Bhallaladeva to save a nearby village from bandits. Their royal training pertaining to politics and warfare comes in handy while dealing with the situation.

To add to the strength of Mahishmati, Shivagami plans to join hands with Yaduvanshi, the king of the Rudragni kingdom. Unaware of a sinister plot afoot, she welcomes him and his family into her palace.

Bhallaladeva rejects Prince Varah's proposal despite being offered the throne of Mahishmati. Later, Baahubali approaches Shivagami hoping to receive some guidance to deal with a serious problem.

With the terror of the dacoits increasing day by day, Shivagami grows worried about the safety of her kingdom. Consequently, she puts forth a suggestion to join hands with the Kalakeyas, which does not sit well with Katappa.

When Baahubali comes across the stories about a ferocious creature's presence in the forests of Mahishmati, he sets out on a mission to solve the mystery.

With his legendary sword destroyed, Katappa's strength is expected to diminish. However, he proves that a weapon does not define his valour.