Rentomojo, the Bengaluru-based, Accel-backed furniture and appliance rental platform, has filed its Red Herring Prospectus for an initial public offering seeking to raise around ₹1,255.6 crore, with a price band of ₹384 to ₹404 per share that values the company at approximately ₹4,200 crore at the upper end — roughly five times its last private-market valuation.
The IPO comprises a fresh issue of ₹150 crore and an offer-for-sale of around 2.73 crore shares worth ₹1,105.6 crore, meaning less than 12 percent of the total offer size will bring fresh capital into the company, while the remainder allows existing investors to realize part of their holdings. The issue opens for subscription on September 9 and closes on September 11, with anchor investors bidding on September 8 and listing tentatively scheduled for September 17 on the BSE and NSE.
Existing investors selling shares through the offer-for-sale include Accel India, Edelweiss, IDG Ventures India, ValueQuest, Madison India and GMO, alongside founder Geetansh Bamania. According to the company's filings, Accel India is the largest shareholder with a 20.92 percent stake, followed by Bamania and Chiratae Ventures with 14.69 percent and 13.69 percent respectively, while Edelweiss Discovery Fund holds 10.53 percent and ValueQuest S.C.A.L.E Fund holds 8.92 percent.
Rentomojo plans to direct the ₹150 crore in fresh issue proceeds primarily toward strengthening its balance sheet, with about ₹70 crore earmarked for debt repayment and a further ₹42.5 crore allocated to lease rentals and licence fees for its warehouses and experience stores. As of March 2026, the company operated 20 warehouses and 82 experience stores serving 2.54 lakh live subscribers across 29 cities.
Financially, Rentomojo has continued to grow while remaining profitable: its revenue from operations rose 45.5 percent year-on-year to ₹387 crore in FY26, compared with ₹266 crore in FY25, while profit after tax jumped 142 percent to ₹104.2 crore from ₹43.1 crore in the previous fiscal. Analysts have noted, however, that FY26's reported profit was aided by a deferred tax credit of ₹36.6 crore — an accounting benefit rather than operating income — and that stripping this out yields an underlying profit of roughly ₹67.7 crore, implying growth of around 57 percent rather than the headline 142 percent when measured against the prior year's approximately ₹43 crore.
According to Rentomojo's RHP, the company reported an occupancy rate of 83.3 percent in FY26, compared with 82.8 percent in FY25 and 86.4 percent in FY24, and holds an estimated 42 to 47 percent share of India's organised online furniture and appliance rental market by subscription revenue in FY25, according to a Redseer report cited in the filing. The company's rental catalogue spans third-party brands including Haier, Wakefit, Livpure and Duroflex, and it has also moved into private-label manufacturing, developing refrigerators and washing machines in partnership with Dixon Technologies to lower the underlying asset cost of the products it rents out.
The steep step-up in Rentomojo's proposed public-market valuation relative to its last private round — roughly five times higher — makes the pricing one of the more closely watched elements of the offering, particularly given that the bulk of the issue represents existing investors selling down their stakes rather than fresh capital flowing into the business.
Rentomojo's listing will be closely tracked as a test of public-market appetite for India's asset-light rental and subscription commerce model, at a time when investors across India's IPO pipeline have grown increasingly selective about valuations, profitability quality and sustainable unit economics rather than simply topline growth.
Motilal Oswal Investment Advisors, Axis Capital and IIFL Capital Services are serving as book-running lead managers for the issue, with Kfin Technologies acting as registrar; allotment is expected to be finalized around September 15, ahead of the company's tentative listing date of September 17, 2026.
