Must raise capital in market boom even if funds not needed: KV Kamath

Amid equity market euphoria, K V Kamath, Chairman, National Bank for Financing Infrastructure and Development on Friday said the investors need to beware before investing in companies with thin balance sheets and no topline and bottomline. “For the other set of companies, I would not concentrate on stock market valuations, but underlying growth and whether that underlying growth is going to sustain the company. This will be the equation,” said Kamath in a chat with Shashwat Goenka, vice chairman, R P Sanjiv Goenka Group at Fortune India 40 under 40 awards function on Friday. Kamath suggested that the young entrepreneurs must raise capital when the market conditions are good even if they do not need capital.