RentoMojo, a leading player in India's furniture and appliance rental market, has announced a price band of ₹384 to ₹404 per share for its upcoming ₹1,256 crore initial public offering, aiming to fuel its growth and repay debt.
- IPO opens September 9 with ₹384-₹404 price band.
- Post-issue valuation projected at ₹4,206 crore.
- Funds aimed at debt repayment, store expansion, and general purposes.
What happened
RentoMojo has officially set the price band for its initial public offering at ₹384 to ₹404 per share. This pricing places the total public issue at approximately ₹1,255.6 crore, split between a fresh share issue of ₹150 crore and an offer for sale of shares worth ₹1,105.6 crore by existing investors such as Accel, Chiratae Ventures, Edelweiss Mutual Fund, and others. The IPO will be available for bidding from September 9 to September 11, with anchor investor bids starting a day earlier on September 8.
The company is also offering a discount of ₹20 per share to eligible employees participating through the employee reservation portion. After the IPO, RentoMojo aims to achieve a market capitalization near ₹4,206.3 crore (approximately $445 million). Founder and co-CEO Geetansh Bamania plans to sell up to 8.5 lakh shares as part of the offer, reducing his originally planned sale significantly due to confidence in future growth.
Why it matters
RentoMojo’s IPO is a significant milestone for the fast-growing rental market in India, focusing on furniture and home appliances. The company operates 20 warehouses and 82 offline stores across 29 cities and maintains a sizable inventory with 8.5 lakh live items serving approximately 2.5 lakh active subscribers. Its rental-based model addresses changing consumer preferences toward flexible ownership and sustainability, evidenced by the high customer repeat rate of 45-50%.
Financially, RentoMojo showed strong growth in FY26, with revenue rising 45.5% to ₹387 crore and profit after tax surging 142% to ₹104.3 crore. The IPO proceeds will be primarily used to repay certain borrowings and expand offline infrastructure. This positions the company well against competitors such as Furlenco, Cityfurnish, and Rentickle, while also expanding beyond purely rental platforms into competing with outright purchases.
What to watch next
The upcoming IPO subscription and investor response will be key indicators of market confidence in India’s rental economy and RentoMojo’s growth prospects. The company’s ability to maintain inventory utilization around its targeted 83-84% occupancy rate will be critical in balancing supply with demand and avoiding stock shortages or excess holdings.
Post-IPO, investors will monitor the company’s use of fresh funds, especially how effectively RentoMojo expands its offline stores and warehouses in line with revenue growth. Continued improvement in profitability, operational efficiencies, and customer retention will shape the company’s long-term valuation and competitive position.