GNG Electronics IPO: Comprehensive Guide for Investors Seeking High Returns
In 2025, the Indian IPO market is abuzz with the upcoming launch of GNG Electronics IPO. This public issue presents a unique investment opportunity in the rapidly expanding electronics and Information and Communication Technology (ICT) refurbishment sector. In this blog, we uncover key details, analyze financials, discuss IPO valuation, and provide actionable strategies—integrating relevant information for investors, traders, and portfolio managers.
What is GNG Electronics IPO?
GNG Electronics Limited, established in 2006 and headquartered in Mumbai, specializes in refurbishing and reselling ICT devices under the brand “Electronics Bazaar.” With a footprint in India, the USA, Europe, Africa, and the UAE, the company has rapidly scaled to become a Microsoft-authorized refurbisher and a certified partner for global companies like HP and Lenovo.
The GNG Electronics IPO is a Mainboard public offering scheduled for subscription from July 23 to July 25, 2025, with a tentative listing on BSE and NSE on July 30, 2025.
GNG Electronics IPO: Key IPO Details at a Glance
| Particulars | Details |
|---|---|
| IPO Open Date | July 23, 2025 |
| IPO Close Date | July 25, 2025 |
| Listing Date | July 30, 2025 |
| Issue Size | ₹460.43 crore |
| Price Band | ₹225–₹237 per share |
| Lot Size | 63 shares |
| Minimum Investment | ₹14,931 (Retail) |
| Face Value | ₹2 per share |
| Book-running Lead Mgr | Motilal Oswal Investment Advisors Ltd |
| Registrar | Bigshare Services Pvt Ltd |
| Listing At | BSE, NSE |
| Fresh Issue | ₹400 crore |
| Offer for Sale (OFS) | ₹60.44 crore |
GNG Electronics IPO Business Model: Why Should You Care?
A Leading Player in Electronics Refurbishment
GNG Electronics refurbishes laptops, desktops, servers, premium smartphones, tablets, mobile workstations, and accessories. Its end-to-end model covers sourcing, refurbishing, sales, after-sales service, and comprehensive warranties. The company markets refurbished devices at significantly lower prices (about one-third the price of new laptops).
GNG Electronics IPO: Financial Performance: Robust Growth, Strong Margins
Revenues and Profits
- FY25 Revenue:
₹1,411–1,420 crore, up 24% YoY. - FY25 Net Profit (PAT):
₹69 crore, up 32% YoY. - EBITDA Margin (FY25):
8.88%. - PAT Margin (FY25):
4.89%. - ROE (FY25):
30.40%. - ROCE (FY25):
17.31%.
GNG Electronics IPO: Key Ratios
| Metric | FY25 | FY24 |
|---|---|---|
| EBITDA Margin (%) | 8.88 | 7.46 |
| PAT Margin (%) | 4.86 | 4.60 |
| ROE (%) | 30.48 | 31.99 |
| ROCE (%) | 17.31 | 16.72 |
| Debt to Equity | 1.97 | 1.94 |
| EPS (₹) | 7.09 | 5.37 |
| Market Cap (Post IPO) | ₹2,702.07 Cr. | – |
GNG Electronics IPO: Valuation & Peer Comparison
The IPO is priced at a P/E ratio of 31.66–39.14x (depending on calculation basis). This valuation is comparable to, or marginally above, the industry average for tech refurbishing companies, taking into account strong growth and improving margins.
| Company | PE Ratio | EPS | RoNW (%) | NAV | Revenue (Cr.) |
|---|---|---|---|---|---|
| GNG Electronics | 31.66–39.14 | 7.09 | 30.40 | 23.31 | 1,420 |
| Newjaisa Technologies | NA | (0.32) | (1.45) | 22.09 | 66.45 |
GNG Electronics IPO: Subscription Details
Investor Quota Breakdown:
- Qualified Institutional Buyers (QIB): up to 50% of offer
- Non-Institutional Investors (NII): at least 15%
- Retail Investors: at least 35%
GNG Electronics IPO: Application Structure:
- Retail (Minimum):
1 lot (63 shares) = ₹14,931 - Retail (Maximum):
13 lots (819 shares) = ₹194,103 - S-HNI Minimum:
14 lots (882 shares) = ₹209,034 - B-HNI Minimum:
67 lots (4,221 shares) = ₹10,00,377
GNG Electronics IPO: Grey Market Premium (GMP): Sentiment Indicator
- As of July 21, 2025, GNG Electronics IPO commands a GMP of ₹74–76, indicating a 31–32% expected listing gain over the upper price band.
Note: Grey market trends reflect sentiment but are unofficial and volatile.
GNG Electronics IPO: Objects of the Issue: How Is the Capital Utilized?
- Prepayment or repayment of debt:
₹320 crore allocated to reduce borrowings and improve capital structure. - Working capital:
To finance inventory, receivables, and day-to-day operations. - General corporate purposes:
Expansion, strengthening operations, branding, and administrative expenses. - Indirect support to subsidiary:
Funds will also help Electronics Bazaar FZC, enhancing global operations.
GNG Electronics IPO: Strengths & Opportunities
- Industry Leadership:
India’s largest Microsoft-authorized refurbisher. - Global Expansion:
Active presence in India, UAE, USA, Europe, and Africa. - Sustainability Commitment:
Promotes circular economy and sustainability through e-waste reduction. - Solid Financials:
High RoE and robust margins suggest operational excellence. - Margin Expansion:
Consistent improvement in EBITDA and net profit margins. - Demand Drivers:
Increasing IT hardware demand, budget constraints, and global sustainability focus.
GNG Electronics IPO: Risks & Challenges
- Debt Levels:
Debt-to-equity ratio close to 2x. Leverage is relatively high, but post-IPO debt reduction could improve balance sheet health. - Competitive Industry:
While GNG Electronics is a leader, global electronics refurbishment and sales remain highly competitive. - Market Fluctuations:
Tech demand can be cyclical and affected by macroeconomic factors.
GNG Electronics IPO: How to Apply: Step-by-Step Guide
- Demat Account Requirement:
Open/ensure you have a live Demat account with a SEBI-registered broker. - Application Window:
Apply between July 23 and July 25, 2025. - UPI/ASBA Application:
Use a UPI-based application or ASBA facility via your bank. - Minimum Investment:
₹14,931 for retail investors. - Allocation Process:
Allotment finalized on July 28, 2025; refunds/initiation and credit on July 29; listing on July 30. - Monitor Listing:
Keep track of listing price and secondary market activity for exits or holding.
GNG Electronics IPO: Should You Invest in GNG Electronics IPO?
Why Consider:
- High expected listing gains, robust financial ratios, a promising sector, and a global expansion strategy.
- Nascent yet expanding market in electronics refurbishment, directly benefiting from sustainability initiatives.
- Attractive for both short-term listing gains (due to high GMP and market buzz) and long-term portfolio growth (on account of strong fundamentals and global market reach).
Consider Caution:
- Industry and macro risks, high leverage, and potential for volatility post-listing.
READ MORE: Indiqube Spaces IPO 2025: Subscription Dates, Share Price, GMP, Allotment & Listing Gains
Conclusion: High Potential, High Interest
The GNG Electronics IPO positions itself as a formidable opportunity for investors seeking exposure to India’s booming refurbished electronics and ICT sector. Strong financials, healthy market demand, and a focus on reducing e-waste through sustainable operations make this IPO a compelling pick for IPO enthusiasts, value investors, and institutional buyers. Be sure to review your risk profile and consult financial advisors prior to making investment decisions.
Disclaimer: Investing in IPOs involves risks. The performance of GNG Electronics IPO post-listing is not guaranteed. Please consult a SEBI-registered investment advisor before making any investment decisions.