RentoMojo Receives SEBI Approval for IPO
Motilal Oswal Investment Advisors, Axis Capital, and IIFL Capital Services are acting as the book-running lead managers for the IPO.
Furniture and appliance rental startup RentoMojo has received approval from the Securities and Exchange Board of India (SEBI) to proceed with its initial public offering (IPO), more than three months after filing its Draft Red Herring Prospectus (DRHP). The regulator issued its final observations on July 6, clearing the company to launch its public issue.
The IPO comprises a fresh issue of equity shares worth up to ₹150 crore and an offer for sale (OFS) of up to 2.84 crore equity shares by existing shareholders. Through the OFS, investors including Accel, Chiratae Ventures, Edelweiss Mutual Fund, GMO Venture Partners, and co-founder Geetansh Bamania will partially dilute their holdings.
According to the DRHP, the proceeds from the fresh issue will be utilised to repay or prepay certain borrowings, fund lease rentals and licence fees for warehouses and experience stores, and meet general corporate purposes.
Founded in 2014 by Geetansh Bamania and Ajay Nain, RentoMojo operates a technology-driven, direct-to-consumer subscription platform that enables consumers to rent furniture, home appliances, and other household essentials through flexible monthly plans.
As of September 30, 2025, the Bengaluru-based company served 2.28 lakh live subscribers across 22 cities. Its operations were supported by 21 warehouses spanning approximately 4.44 lakh square feet, 67 experience stores, and a portfolio of over 7.28 lakh products.
The company has also delivered strong financial performance ahead of its planned listing. During the first half of FY26, RentoMojo reported revenue from operations of ₹176.6 crore and profit after tax of ₹61.4 crore. In FY25, operating revenue increased 38% year-on-year to ₹266 crore, while net profit rose 92% to ₹43.1 crore, reflecting sustained profitability as it prepares for the public markets.
The IPO process also comes amid an ongoing legal dispute involving co-founder and former Chief Operating Officer Ajay Nain, who has challenged the transfer of his shareholding and sought to restrain the proposed public issue. The company has disclosed the pending litigation in its DRHP and has stated that the matter remains sub judice.
RentoMojo’s public market debut comes as India’s subscription economy continues to expand, driven by increasing demand for flexible ownership models among urban consumers.