GNG Electronics IPO opens today: Analysts bet on growth; should you apply?

GNG Electronics IPO: The initial public offering (IPO) of laptops and desktops refurbisher, GNG Electronics, will open for public subscription today, July 23, 2025. At the upper end of the price band of ₹225 to ₹237, th  company aims to raise ₹460.43 crore. The mainline offering comprises a fresh issue of 16.9 millon equity shares and an offer for sale (OFS) of 2.6 million equity shares. 

 

On Tuesday, July 22, the company raised ₹138 crore from the anchor investors. Goldman Sachs Fund, Motilal Oswal Mutual Fund, Buoyant Opportunities Strategy, Edelweiss Mutual Fund, and Mirae Asset Mutual Fund were the institutions that participated in the anchor, according to an exchange filing. GNG Electronics has allotted 5.82 million equity shares to 14 funds at ₹237 per share. 

GNG Electronics IPO grey market premium (GMP)

The unlisted shares of GNG Electronics were trading at ₹342 inGNG the grey market, up ₹105 or 44.3 per cent from the upper end price, according to sources tracking unofficial market activities.

Should you subscribe to the GNG Electronics IPO?

Bajaj Broking - Subscribe for long term

  On the financial performance front, for the last three fiscals, the company has posted a consolidated total income of ₹662.79 crore (FY23), ₹1143.80 crore (FY24), and ₹1420.37 crore (FY25). It reported net profit of ₹32.43 (FY23), ₹52.31 crore (FY24), and ₹69.03 crore (FY25).  According to analysts at Bajaj Broking, this indicates the ongoing trends and likely prospects for this refurbishing of IT devices segment. "The company has average RoNW of 30.68 per cent. If we attribute FY25 annualised earnings then the asking price is at a P/E of 39.17. Based on FY24 earnings, the P/E stands at 51.63," the brokerage said in a note.

 

Bajaj Broking has assigned 'Subsribe for long term' rating to the GNG Electronics IPO

 

Arihant Capital - Subscribe  According to analysts at Arihant Capital, the company is well placed to capitalise on the fast-growing refurbished electronics market, with global demand expected to grow at a 17.4 per cent CAGR and India’s market at 30 per cent through FY30. It has doubled its customer base in two years and expanded operations across key regions.  "Going forward, it aims to reach more retail and institutional buyers with affordable, reliable devices backed by flexible services and stronger digital outreach," the brokerage said. It recommends investors to 'Subscribe' to the GNG Electronics IPO. 

 

"At the upper price band of ₹237, the issue is priced at a P/E of 39.14x based on the FY25 EPS of ₹6.1. We have a Subscribe rating for the issue," Arihant Capital said in a note.

Here are the key details of the GNG Electronics IPO:

GNG Electronics IPO is available at a price band of ₹225 to ₹237 per share, with a lot size of 63 shares. Accordingly, investors can bid for a minimum of one lot or 63 shares of GNG Electronics and in multiples thereof.

 

The minimum amount required by a retail investor to bid for the IPO is ₹14,931 at the upper end price. A retail investor can bid for a maximum of 13 lots or 819 shares, amounting to ₹1,94,103. 

The three-day subscription window to bid for the issue will conclude on Friday, July 25, 2025. Following the closure of the subscription window, the basis of allotment of shares is likely to take place on Monday, July 28, 2025. Shares of GNG Electronics are scheduled to make their D-street debut on Wednesday, July 30, 2025, by listing on the BSE and NSE.

 

Bigshare Services is the registrar of the issue. Motilal Oswal Investment Advisors, IIFL Capital Advisors, and JM Financial are the book-running lead managers.

 

According to the red herring prospectus (RHP), the company aims to utilise the net fresh issue proceeds for repayment/prepayment of certain outstanding borrowings availed by itself and the material subsidiary, Electronics Bazaar FZC. The remaining funds will be used for general corporate purposes.