GNG Electronics secures ₹138 cr from anchor investors; ₹460 cr IPO opens today

GNG Electronics, India’s largest laptop and desktop refurbisher, has raised ₹138 crore from anchor investors ahead of its ₹460 crore initial public offering (IPO), which opens for subscription today. The anchor book, which opened for a day on July 22, saw participation from several prominent institutional investors such as Goldman Sachs, Mirae Asset MF, Motilal Oswal MF, Edelweiss MF, Buoyant Opportunities Strategy, and marquee investors like Ashish Kacholia’s Bengal Finance, Madhusudan Kela’s Founder Collective Fund and Mint Focused Growth Fund.

GNG Electronics allotted 58,28,290 equity shares to 14 anchor investors at the upper end of the price band at ₹237 per equity share with face value of ₹ 2 per equity share, as per the exchange data.

Out of the total allocation to anchor investors, 39.40% was allotted to three domestic mutual funds through a total of four schemes. These include Motilal Oswal Large Cap Fund, Mirae Asset Small Cap Fund, and Edelweiss Trusteeship Co Ltd AC.

Key things to know about GNG Electronics IPO

The three-day public issue of GNG Electronics will open for subscription today at a price band of ₹225-₹237 per share. The IPO comprises a fresh issue of equity shares worth ₹400 crore and an offer for sale (OFS) of 25.5 lakh shares by promoters. The company aims to raise ₹460.44 crore at the upper end of the price band, while its market value is pegged at around ₹2,702 crore.

The shares of GNG Electronics are expected to be listed on both BSE and NSE on July 30, while allotments are expected to be finalised on July 28.

The lot size for an application is 63 and in multiple of thereafter. The minimum amount for retail investor is ₹14,175 for one lot, or 63 shares, and maximum is ₹1,94,103 for 13 lots, or 819 shares.

GNG Electronics IPO has reserved up to 50% of the shares for qualified institutional buyers (QIB), up to 15% for non-institutional investors (NII), and up to 35% for retail investors.

The company plans to utilise the capital raised from issuance of fresh equities primarily to reduce its debt by ₹320 crore, with the remaining funds earmarked for general corporate purposes, including expansion and operational improvements.

On the earnings front, the company has shown consistent financial growth, with revenue increasing from ₹1,138.1 crore in FY24 to ₹1,420.37 crore in FY25, and net profit rising from ₹52.31 crore to ₹69.03 crore during the same period.

Established in 2006, GNG Electronics specialises in the refurbishment of laptops, desktops, and ICT devices, serving customers across India and global markets. Operating under the brand “Electronics Bazaar”, GNG runs five refurbishment facilities across India, the United States, and the UAE. Its business model covers the entire value chain, staring from sourcing and refurbishing to sales, after-sales service, and warranty support.

Motilal Oswal Investment Advisors, IIFL Capital Services, and JM Financial are the lead managers to the issue, while Bigshare Services will act as the registrar.

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