NSE Managing Director and CEO Ashish Chauhan | Photo Credit: Balaji W S 463@Chennai

Public listing allows founders to raise growth capital without surrendering control of their businesses, National Stock Exchange (NSE) Managing Director and CEO Ashish Chauhan said on Friday.

He urged startups and micro, small, and medium enterprises (MSMEs) to view public listing as a strategic tool for scaling up operations rather than a threat to their ownership.

Speaking at the JITO Incubation and Innovation Foundation's (JIIF) Foundation Day event at the NSE, Chauhan stated that public markets provide growth capital, improve governance standards, enhance credibility, and help companies attract top talent while allowing promoters to retain control.

Chauhan noted that a promoter can offer 25 per cent of equity to the market at the outset, retain 75 per cent, and dilute further only as the business requires.

"When you list, you keep 75 per cent with yourself and offer 25 per cent to the market in the beginning. You can give more later. Control stays with you," Chauhan said.

The NSE chief explained that public markets reward profitable businesses with a valuation that private balance sheets cannot match. He said a company earning an annual profit of ₹2 crore could command a market capitalisation of ₹40 to 50 crore once listed, giving the promoter room to raise capital, bring in partners, and expand operations.

Chauhan stated that listing gives a company its own currency, allowing a listed promoter to use stock to acquire other businesses, draw in partners, and reward staff through stock options.Addressing concerns that listing exposes founders to hostile takeovers, Chauhan said control stays with the promoter and no change of ownership can occur against a founder's wishes.

He also cautioned founders against chasing artificial trading volumes. "Your business is in your operations, not in the share price. The stock market is only a reflection of your business; it is not the business itself," Chauhan said.

He added that share prices follow sustained growth in profit and founders should direct their energy towards operations rather than short-term price movements. He advised founders to focus on building profitable, sustainable businesses rather than being distracted by temporary market shifts.

"If you are doing a business of ₹10 crore or ₹20 crore, you should be planning for ₹200 crore and beyond," Chauhan said.The keynote comes days after the NSE filed its draft prospectus for a public offering. Meanwhile, companies on the NSE's SME platform, launched in 2012, have collectively raised more than ₹21,700 crore and hold a combined market capitalisation of more than ₹2 lakh crore.

JIIF Chairman Jeenendra Bhandari stated that over the past two years, the foundation successfully completed four incubation cohorts and facilitated over ₹60 crore in startup investments. Bhandari added that the foundation secured a ₹5 crore MSInS grant and a ₹2 crore SISFS grant to further strengthen the innovation ecosystem.

Published on June 26, 2026