As of 11:06 a.m., the issue was subscribed 1.6 times overall. The NII category saw 2.96 times subscription, while the retail portion received 1.91 times the allotted bids. Qualified Institutional Buyers (QIBs) had subscribed to 3% of their quota so far.
In the grey market, GNG Electronics shares were quoting at a premium of Rs 98–103, indicating a potential 41% upside over the upper end of the price band.
The IPO comprises a fresh issue of Rs 400 crore and an offer for sale (OFS) of Rs 60.44 crore by existing shareholders. The price band is fixed at Rs 225–237 per share, translating to a P/E ratio of 33.3x based on FY25 earnings.
Ahead of the IPO, the company raised Rs 138 crore from anchor investors on July 22 by allocating over 58 lakh shares.
Should You Subscribe?
SBI Securities and Canara Bank Securities have both given a “Subscribe” rating, citing the company’s scale, growth momentum, and strategic positioning.“GNG operates in a fragmented but fast-formalising market. With operations in 38 countries, refurbishing over 5.9 lakh devices in FY25, and a 46% revenue CAGR over FY23–FY25, the company is well-poised to benefit from affordability-driven demand and ESG tailwinds,” the brokerages noted.
About the Company
GNG Electronics is India’s largest refurbisher of laptops, desktops, and other devices under the Electronics Bazaar brand. The company scaled its refurbished device volumes to 5.9 lakh units in FY25, up from 2.5 lakh in FY23. Its procurement partner network also expanded from 265 to 557 in the same period.
Laptops contributed 75.6% of FY25 revenue, with the rest coming from desktops, tablets, servers, smartphones, and other electronics. GNG has a global presence across 38 countries and operates with 4,154 customer touchpoints as of March 2025.
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Financials and Valuation
GNG Electronics more than doubled its revenue and profit in two years. It reported revenue of Rs 1,411 crore and net profit of Rs 69 crore in FY25, compared to Rs 659.5 crore and Rs 32.4 crore in FY23, respectively. Its EBITDA margin improved to 8.9% from 7.6% during this period.
However, working capital surged to Rs 261 crore in FY25, 2.5 times higher than in FY23. Based on FY25 earnings and post-IPO equity, the company is valued at a P/E multiple of up to 39. GNG currently has no directly listed peer on the main board.
Key Dates
- IPO open: July 23 to July 25, 2025
- Allotment date: Monday, July 28
- Tentative listing: Wednesday, July 30 (BSE & NSE)
Lead Managers
Motilal Oswal Investment Advisors Ltd is the book-running lead manager, and Bigshare Services Pvt Ltd is the registrar to the issue.
(Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of The Economic Times)
