GNG Electronics Sets IPO: Street Buzzes with laptop refurbisher

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GNG Electronics Sets IPO Price Band at ₹225–237 per Share, Aims to Raise ₹460.43 Crore

By S JHA

MUMBAI, July 18, 2025 — GNG Electronics Limited, India’s largest refurbisher of laptops and desktops, has announced a price band of ₹225 to ₹237 per equity share for its initial public offering (IPO), set to open for public subscription from July 23 to July 25, 2025.

The IPO, comprising a fresh issue of 1.69 crore equity shares worth ₹400 crore and an offer-for-sale (OFS) of 25.5 lakh shares valued at ₹60.44 crore, aims to raise ₹460.43 crore at the upper end of the price band, pegging the company’s market valuation at approximately ₹2,702 crore.

In an official statement, GNG Electronics outlined the objectives of the IPO: “The net proceeds from the fresh issue will be utilized for prepayment or repayment of certain outstanding borrowings availed by the company and our material subsidiary, Electronics Bazaar FZC, funding working capital requirements, and general corporate purposes.”

The company operates under the brand Electronics Bazaar. It claims to be a leader in refurbishing laptops, desktops, and ICT devices. The company also claims to have a presence across India, the USA, Europe, Africa, and the UAE.

The anchor book for institutional investors will open on July 22. Share allotment is expected on July 28 and listing on BSE and NSE likely for July 30.

GNG Electronics has demonstrated strong financial growth in recent years. According to its Red Herring Prospectus (RHP), the company reported a consolidated revenue of ₹1,138.14 crore in FY24, a significant increase from ₹659.54 crore in FY23 and ₹520.50 crore in FY22. Net profit for FY24 stood at ₹52.31 crore, up from ₹32.43 crore in FY23 and ₹21.71 crore in FY22.

For the first half of FY25 (ending September 30, 2024), revenue reached ₹607.96 crore, with a profit of ₹35.10 crore. In FY25, revenue from operations grew 24% to ₹1,411.1 crore, and net profit rose 32% to ₹68.8 crore compared to FY24.

The company’s revenue from its subsidiary, Electronics Bazaar FZC, accounted for 49.6% of total revenue in FY24 and 62.5% in H1 FY25, highlighting its growing international footprint. However, GNG noted risks, including reliance on its top 10 customers for 55.77% of FY24 revenue and potential volatility in raw material prices.

Market Size and Growth Potential

The global refurbished personal computer market has seen robust growth, expanding from $9.7 billion in 2018 to $14.4 billion in 2023, with a projected value of $38.3 billion by 2028 at a compound annual growth rate (CAGR) of 22%.

In India, the refurbished PC market grew from $0.2 billion in FY19 to $0.8 billion in FY24 and is expected to reach $3.3 billion by FY29, reflecting a CAGR of 33%. The broader Indian consumer electronics market, valued at $63.8 billion in FY24, is projected to grow to $114.4 billion by FY29 at a CAGR of 12.4%. GNG’s focus on affordability—offering refurbished laptops at one-third the price of new devices and other ICT products at 35–50% of original costs—positions it to capitalize on this trend toward sustainability and digital inclusion, said Kotak Securities in a note on the company.

On X, @Tanmay_31_ highlighted the company’s financials, noting a pre-money P/E ratio of 33.4x and post-money P/E of 39.2x, suggesting that “valuations hold key” for investor interest.

However, some users expressed concerns about high valuations and reliance on key markets like India, the Middle East, and the USA, which account for over 97% of revenue in H1 FY25.

Disclaimer: This article makes no recommendation for any kind of stock market trades or investment decision.

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