Last Modified: Wed, Dec 16 2015. 12 42 AM IST
Top 500 firms will need to generate Rs7 trillion to reduce their leverage ratio to sustainable limits, says Sebi chairman
Joining the debate over increasing bad loans in domestic firms, U.K. Sinha, chairman of the Securities and Exchange Board of India, or Sebi, on Tuesday urged merchant bankers to help firms raise equity in order to reduce the level of debt on their books. Sinha was addressing the annual gathering of the Association of Investment Bankers of India in Mumbai.
For these (top 500) corporate, the leverage ratio, which is net debt divided by Ebitda (earnings before interest, taxes, depreciation and amortization), is 4.7 times, while the average sustainable numbe…
Read the full article at: http://www.livemint.com/Money/zOO5BOM3pZIuHuyTOnID1H/UK-Sinha-urges-merchant-bankers-to-help-firms-raise-equity.html