Furniture and appliance rental platform Rentomojo has filed its draft red herring prospectus (DRHP) with Securities and Exchange Board of India (SEBI) to raise Rs 150 crore through a fresh issue in its initial public offering (IPO).
According to the DRHP, the proposed IPO will comprise a fresh issue of equity shares worth Rs 150 crore, along with an offer for sale (OFS) of up to 2.84 crore equity shares by existing shareholders.
Accel India will lead the OFS by offloading 78.46 lakh shares, followed by Chiratae Ventures with 44.9 lakh shares. ValueQuest S.C.A.L.E Fund and Edelweiss Discovery Fund will offload 27.13 lakh and 32 lakh shares, respectively.
Founder Geetansh Bamania will also participate in the OFS along with Madison India Opportunities and GMO. The company is also considering a pre-IPO placement of Rs 30 crore.
Axis Capital, Motilal Oswal, and IIFL Capital are the issue's merchant bankers, while KFin Technologies is the registrar.
The company will use the proceeds from the fresh issue to repay outstanding borrowings, pay lease rentals and license fees for warehouses and experience centres, and for general corporate purposes.
Founded in 2014, Rentomojo operates at the intersection of consumer tech and lifestyle, offering furniture, appliances, and newer categories such as water purifiers on a rental basis. The company currently serves over 2.2 lakh live subscribers, manages more than 7.7 lakh rental items, and operates across 23 cities through 71 experience stores.
According to the company's DRHP, Accel India is the largest shareholder with a 20.92% stake, followed by founder Geetansh Bamania and Chiratae Ventures with 14.69% and 13.69%, respectively. Edelweiss Discovery Fund holds 10.53%, while ValueQuest S.C.A.L.E Fund commands 8.92%.
The Bengaluru-based company has raised over Rs 650 crore across multiple funding rounds, including its $25 million round led by Edelweiss in February 2024.
On the financial front, Rentomojo reported Rs 176.6 crore in operating revenue and Rs 61.3 crore in profit in the first six months of FY26.
In FY25, the company reported Rs 266 crore in operating revenue, a 38% year-on-year rise from Rs 193 crore in FY24, while net profit grew 92% to around Rs 43 crore.