Furnishings and equipment rental platform RentoMojo has mounted a worth band of Rs 384 to Rs 404 per share for its preliminary public providing (IPO), which is able to elevate Rs 1,256 crore on the higher finish and worth the corporate at roughly Rs 4,206 crore, or about $445 million, after the problem.

The supply opens on 9 September, closes on 11 September, and the shares are anticipated to checklist on 17 September, based on its newest Purple Herring Prospectus (RHP).

The corporate reported working income of Rs 387 crore in FY26, up 45.5% from the earlier yr, and a web revenue of Rs 104.3 crore, up 142%.

It is price noting that RentoMojo’s FY26 web revenue of Rs 104.3 crore was aided by a deferred tax credit score of Rs 36.6 crore. That’s an accounting profit, not cash earned from renting something. Strip it out and the underlying revenue is roughly Rs 67.7 crore. If we measured this towards the prior yr’s determine of about Rs 43 crore, that’s progress of round 57% relatively than 142%.

The corporate retains Rs 150 crore of the Rs 1,256 crore

Of the Rs 1,256 crore being raised, solely Rs 150 crore is a recent problem, that means cash that goes into RentoMojo. The remaining Rs 1,106 crore is a suggestion on the market, which works to present shareholders promoting their stakes. That’s about 88% of the problem going to traders cashing out and roughly 12% to the corporate.

The Rs 150 crore is then additional dedicated. Round Rs 70 crore goes to repaying or prepaying borrowings, and Rs 42.5 crore to rental or licence funds for the corporate’s offline shops and warehouses. The rest is for normal company functions.

Who’s promoting

Promoting shareholders within the supply on the market embody Accel India IV (Mauritius), Chiratae Belief, Edelweiss Discovery Fund, IDG Ventures India Fund III, ValueQuest S.C.A.L.E. Fund and GMO Enterprise Companions. Cofounder Geetansh Bamania can be promoting, offloading as much as 8.5 lakh shares.

After the problem, Bamania stays the biggest shareholder with about 13.37%, adopted by Accel India at about 12.71%. Workers bidding beneath the reserved portion get a reduction of Rs 20 per share. Motilal Oswal Funding Advisors, Axis Capital and IIFL Capital Providers are working the problem, with KFin Applied sciences as registrar.

The corporate filed its draft prospectus on 27 March 2026.

What RentoMojo really is

Based in 2014 by Geetansh Bamania and Ajay Nain, RentoMojo rents furnishings, home equipment and different house necessities on a subscription foundation, primarily to younger city renters who transfer usually and don’t wish to purchase a fridge they should promote in eighteen months.

In contrast to market that connects a purchaser to a vendor and takes a lower, RentoMojo buys the couch, rents it out, takes it again, refurbishes it, and rents it once more to any individual else. It manages the entire cycle, together with procurement, servicing, reverse logistics and redeployment.

That mannequin has an actual benefit. As a result of the corporate earns from the identical asset throughout a number of rental cycles, a well-utilised couch can return greater than its buy worth. It additionally has an actual price: progress requires shopping for stock, which wants capital, and idle inventory is cash sitting in a warehouse.

In accordance with the RHP, RentoMojo reported an occupancy price of 83.3% in FY26, in contrast with 82.8% in FY25 and 86.4% in FY24. 

The rental catalogue consists of third-party manufacturers reminiscent of Haier, Wakefit, Livpure and Duroflex. The corporate has additionally moved into private-label merchandise, creating fridges and washing machines in partnership with Dixon Applied sciences, which lowers the price of the asset it’s renting out.

As of 31 March 2026, Rentomojo had 253,825 dwell subscribers throughout 29 cities. Its community included 20 warehouses and 82 expertise shops.

In accordance with a Redseer report cited within the submitting, the corporate held an estimated 42% to 47% share of India’s organised on-line furnishings and equipment rental market by subscription income in FY25.

Redseer estimates the entire addressable marketplace for house furnishings and equipment leases at about Rs 69,500 crore in CY2025, rising to Rs 1.17 lakh crore by CY2030 at round 11% CAGR.

The underlying shift is actual and visual in any Indian metropolis with a big migrant working inhabitants. Folks of their twenties and thirties transfer cities and residences steadily, and more and more deal with furnishings as one thing to subscribe to relatively than personal.

However two dangers comes with it. The primary is seasonality, since demand for merchandise like air conditioners is concentrated particularly months whereas the property must be financed all yr.

The second is that renting bodily items has low obstacles to entry on the native degree, and the “organised” qualifier in RentoMojo’s market share determine is doing significant work. The unorganised rental market, run by native sellers, isn’t counted in that 42% to 47%.