GNG Electronics, touted as India’s largest refurbisher of laptops and desktops and a leading player in refurbishing ICT (information and communication technology) devices, is gearing up to enter the primary market with plans to raise ₹825 crore.
The electronics firm, on December 14, filed its draft red herring prospectus (DRHP) with the market regulator, the Securities and Exchange Board of India (SEBI).
According to the DRHP, The IPO comprises of a fresh issue of equity shares of face value of ₹2 each aggregating up to ₹825 crore and an offer for sale of up to 97 lakh shares of face value of ₹2 each. The offer for sale comprises up to 35,000 equity shares by Sharad Khandelwal, up to 35,000 equity shares by Vidhi Sharad Khandelwal and up to 9,630,000 equity shares by Amiable Electronics Private Limited.
Motilal Oswal Investment Advisors Limited, IIFL Capital Services Limited and JM Financial are the book-running lead managers of the issue, while Bigshare Services Private Limited is the registrar to the issue.
The company intends to use the net proceeds from the issue to prepay or repay all or a portion of certain outstanding borrowings availed by it and its material subsidiary, Electronics Bazaar FZC. Besides, some part of the net proceeds will be used for funding the working capital requirements and for general corporate purposes.
