Rentomojo sets Rs 384-404 band for Rs 1,256 crore IPO

The Development

Rentomojo Limited has set a price band of Rs 384 to Rs 404 per share for its initial public offering, an issue the company sizes at about Rs 1,255.57 crore, per the price band advertisement and the red herring prospectus filed with the Securities and Exchange Board of India (SEBI). The anchor investor bidding date is Tuesday, September 8, 2026, with the offer opening for public subscription on Wednesday, September 9, 2026 and closing on Friday, September 11, 2026, per the RHP dated September 3, 2026. The band and dates were reported by The Economic Times on September 4.

This is the Bengaluru-based furniture and appliance rental platform's first public issue. The RHP, available on SEBI's website, confirms the shares are proposed for listing on both the BSE and the National Stock Exchange, with the NSE as the designated stock exchange. The document states the offer combines a fresh issue with an offer for sale, placing it among the larger mainboard issues in the September pipeline. Readers can follow the desk's prior coverage of the primary market on the Oquilia news page.

The Company

Rentomojo Limited, formerly Rentomojo Private Limited, operates a technology-driven, direct-to-consumer online rental and subscription platform for furniture and appliances in India. The company discloses that as of March 31, 2026 it had 253,825 live subscribers spread across 29 cities, served through an omni-channel model that combines an online ordering platform with 82 experience stores and 20 warehouses. Per the RHP, it describes itself, citing a Redseer report, as the largest online rental and subscription platform for home furniture and appliances by live subscribers as of March 31, 2025.

On financials, the company discloses restated revenue from operations of Rs 386.99 crore for the year ended March 31, 2026, up from Rs 265.96 crore in FY2025 and Rs 192.70 crore in FY2024. Restated profit after tax was Rs 104.30 crore in FY2026, against Rs 43.11 crore in FY2025 and Rs 22.41 crore in FY2024, per the RHP. Net worth stood at Rs 295.81 crore as of March 31, 2026, and the company discloses total consolidated borrowings of Rs 258.33 crore as of June 30, 2026. The promoter is Geetansh Bamania, who the offer document states is the chairperson, managing director and chief executive officer.

The Offer Structure

Per the RHP, the offer comprises a fresh issue of equity shares aggregating up to Rs 150 crore and an offer for sale of up to 27,365,529 equity shares of face value Rs 1 each by selling shareholders. Named selling shareholders in the offer for sale include Accel India IV (Mauritius) Limited (up to 7,846,951 shares), Edelweiss Discovery Fund - Series I, IDG Ventures India Fund III LLC, ValueQuest S.C.A.L.E. Fund, Madison India Opportunities V VCC and GMO Payment Gateway Inc, alongside promoter Geetansh Bamania offering up to 849,175 shares. The company will not receive any proceeds from the offer for sale, the document states.

The price band is Rs 384 to Rs 404 per share, per the price band advertisement; the minimum bid lot and application amount are specified in that advertisement. On the stated objects of the issue, the RHP earmarks Rs 70 crore of net proceeds for repayment or prepayment of certain borrowings, Rs 42.5 crore towards lease rental and licence fee for warehouses and experience stores, and the balance for general corporate purposes, capped at 25% of gross proceeds. The book-running lead managers are Motilal Oswal Investment Advisors, Axis Capital and IIFL Capital Services, with KFin Technologies as registrar. Readers working through allotment arithmetic can use Oquilia's lumpsum calculator or CAGR calculator.

Risk Factors

The RHP lists concentration of revenue as a leading risk: the company discloses that renting furniture and appliances, along with recurring subscription revenue, accounted for 97.90%, 98.20% and 98.19% of revenue from operations in Fiscals 2026, 2025 and 2024 respectively, so any decline in demand for such rentals could adversely affect the business. Among the risk factors the company discloses, revenue is also concentrated in key tier-1 and metropolitan markets, where adverse local developments could have a disproportionate impact.

The RHP further discloses an operational hazard: the company experienced a fire at one of its warehouses in June 2026, and states that any such incident could result in asset damage or suspension of operations. Among other risks, the offer document notes that the company, its promoter and certain directors are involved in legal and regulatory proceedings, that its statutory auditors have included certain observations in their reports for the years ended March 2026, 2025 and 2024, and that delays or defaults in payments by subscribers could affect its results. The document adds that its registered and corporate offices sit on premises where it holds only membership rights, with warehouses and stores on leasehold property.

What Happens Next

With the price band fixed, the standard mechanics run from the anchor investor book on September 8, 2026, ahead of the three-day public subscription window that opens on September 9 and closes on September 11, per the RHP. The UPI mandate end time is stated as 5:00 p.m. on the closing date. After the issue closes, the registrar, KFin Technologies, finalises the basis of allotment, followed by refunds and the unblocking of application amounts for unsuccessful bidders.

The shares are then credited to demat accounts before listing on the BSE and NSE. Exchange-reported subscription figures, category-wise across qualified institutional buyers, non-institutional investors and retail investors, will become available as of stated times during the bidding window. This report describes the process only; the eventual demand and listing price are matters of record that will be reported when the exchanges publish them.

FAQ

Should I apply for this IPO?

Oquilia does not make recommendations. This report is informational and is not investment advice or a recommendation to subscribe. The RHP, including the complete risk-factors section, is available on SEBI's website and the exchanges - read it directly before making any decision.

What is the price band?

Per the price band advertisement, Rentomojo has set a band of Rs 384 to Rs 404 per share of face value Rs 1. The company sizes the total offer at about Rs 1,255.57 crore, comprising a fresh issue of up to Rs 150 crore and an offer for sale of up to 27,365,529 equity shares by selling shareholders, per the RHP.

When does the issue open and close?

The anchor investor bidding date is September 8, 2026. The public issue opens on September 9, 2026 and closes on September 11, 2026, per the RHP. The UPI mandate end time is 5:00 p.m. on the closing date.

What does the company do?

Rentomojo Limited runs a direct-to-consumer online rental and subscription platform for furniture and appliances. The company discloses 253,825 live subscribers across 29 cities as of March 31, 2026, served through an online platform and 82 experience stores.

How is the basis of allotment decided?

For an oversubscribed mainboard issue, allotment is finalised by the registrar in accordance with SEBI rules, category-wise across the reserved portions. For retail investors, allotment is made by lot where demand exceeds supply. The registrar for this offer is KFin Technologies, per the RHP.

Where can I read the RHP?

The red herring prospectus is filed with SEBI and available on its website, and on the websites of the NSE, the BSE and the company. It sets out the full risk factors, financials and offer terms.

This report is based on the red herring prospectus filed with SEBI. It was surfaced via coverage in The Economic Times.