Rentomojo sets ₹384–₹404 IPO price band for ₹1,256 crore issue next week

Furniture and home electronics rental startup Rentomojo is seeking a valuation of about ₹4,246 crore as it prepares to launch its initial public offering (IPO) next week. The valuation is based on the upper end of the ₹384-404 per share price band it announced last week and is nearly five times higher than its ₹850-900 crore valuation from a private funding round in 2024.The Bengaluru-based company is raising ₹150 crore in fresh capital, while its investors, including Accel, Chiratae Ventures and ValueQuest, are selling shares worth ₹1,106 crore under offer for sale (OFS). This brings the total issue size to about ₹1,256 crore.Rentomojo's IPO will open for subscription on September 9 and close on September 11.Early investors in the company, including Accel and Chiratae Ventures, are sitting on significant paper gains of up to 8.6X and almost 5X after the furniture and appliances rental platform set the upper end of its price band at ₹404 per share for its upcoming IPO.Paper gains refer to unrealised capital gains existing shareholders hold before they sell their stake to the public after the company is listed.As part of OFS, Accel could make up to ₹317 crore and Chiratae Ventures could make up to ₹197 crore. Other investors, such as Madison India Capital, could make 7.2X returns, or ₹97 crore.At the upper end of the price band, Rentomojo's founder and promoter, Geetansh Bamania, holds a 14.7% stake in the company worth ₹602 crore. He is selling up to 849,175 shares, or about a 0.8% stake, and is expected to realise roughly ₹34 crore from the OFS."The business is now in its fourth year of profitability. We don't need to raise large amounts of primary capital," he said, adding that key shareholders including Accel, Edelweiss, Chiratae and ValueQuest will continue to own meaningful stakes after the IPO.FY26 earningsin FY26, Rentomojo's net profit surged nearly 142% to ₹104.3 crore, up from ₹43 crore in the previous fiscal, largely on account of a one-time deferred tax credit of ₹36.6 crore in the previous fiscal year. Its operating revenue grew 45.5% to ₹387 crore in FY26 from ₹266 crore in FY25, driven by addition of new subscribers. Including other income of ₹7 crore, the company's total income for FY26 stood at ₹394 crore.

New Delhi: Online furniture and appliance rental platform Rentomojo is gearing up for its stock market debut, setting a price band of Rs 384-404 per share for its Rs 1,256-crore initial public offering.The Rentomojo IPO will open for public subscription on September 9 and close on September 11. Anchor investors can place their bids on September 8.Rentomojo IPO DetailsThe public offering includes a fresh issue of shares worth up to Rs 150 crore and an Offer for Sale (OFS) of 2.36 crore shares.At the upper end of the Rentomojo IPO price band, the OFS is valued at around Rs 1,106 crore, taking the overall issue size to Rs 1,256 crore.Mahanadi Coalfields IPO Moves Ahead As Coal India Files DRHP For 10% Stake Sale Through OFS Several existing investors will sell shares through the OFS, including Accel India IV (Mauritius), Edelweiss Discovery Fund, IDG Ventures India Fund III, ValueQuest S.C.A.L.E. Fund and Chiratae Trust.Founder Geetansh Bamania is also among the selling shareholders.Where Will Rentomojo Use the Money?Proceeds from the fresh issue will primarily be used to repay debt and meet lease rentals or licence fees for warehouses and experience stores. A portion will also go towards general corporate purposes.IPO-Bound Simple Energy Plans Major Fundraise To Boost Production Capacity, Strengthen Supply Chain Founded by Bamania, Rentomojo operates a technology-driven Direct-to-Consumer platform offering furniture and home appliances on rental and subscription.According to a Redseer report cited in its draft papers, Rentomojo held an estimated 42-47% share of India’s organised online furniture and appliance rental market by subscription revenue in FY2025.Rentomojo shares are scheduled to list on the BSE and NSE on September 17.