Rentomojo IPO Insights

Rentomojo’s IPO has garnered significant attention, achieving a subscription level of 1.97X on its first day, according to the National Stock Exchange (NSE) data. The demand was primarily driven by non-institutional investors (NII), who saw their segment subscribed 3.87X.

Subscription Breakdown

The employee portion was subscribed at 2.09X, while the retail segment experienced a subscription rate of 2.05X. In contrast, qualified institutional buyers (QIB) demonstrated less interest, with a subscription rate of 0.41X on the opening day.

IPO Timeline and Pricing

The Rentomojo IPO commenced on September 9 and is set to conclude on September 11. The price band has been established at Rs 384 to Rs 404 per share. This issue consists of a fresh issuance of Rs 150 crore alongside an offer for sale (OFS) totalling Rs 1,105.6 crore from existing shareholders.

About Rentomojo

Founded in 2014 and based in Bengaluru, Rentomojo operates a subscription-oriented rental service for furniture, appliances, and various household items. This model allows consumers to rent products on a monthly basis rather than making an outright purchase. The company has successfully expanded its network across key Indian cities, competing with other rental services like Furlenco and Cityfurnish.

Financial Performance

In FY26, Rentomojo reported operational revenue of Rs 387 crore, reflecting a year-on-year growth of 45.5%. Additionally, its net profit surged by 142% compared to the previous year, reaching Rs 104 crore. At the upper limit of the IPO price range, the company is aiming for a valuation of approximately $444 million. Proceeds from the fresh issue will be allocated towards repaying debt and other corporate initiatives.

IPO Management

The IPO process is being overseen by Motilal Oswal Investment Advisors, Axis Capital, and IIFL Capital Services. Shares of Rentomojo are anticipated to list on both the NSE and BSE on September 17.