RentoMojo IPO closed its bidding window with the kind of order book that makes a listing day worth watching. The furniture and appliance rental platform’s Rs 1,256 crore public issue was subscribed 72.87 times on the final day of bidding, according to exchange data.
Institutions led the rush
Qualified institutional buyers did the heaviest lifting, with bids worth 177.3 times the shares on offer. The non institutional investor category was subscribed 67.92 times, the employee portion 21 times and the retail quota 15.58 times.
The issue opened for subscription on September 9 at a price band of Rs 384 to Rs 404 per share. It combines a fresh issue of Rs 150 crore with an offer for sale worth Rs 1,105.6 crore by existing shareholders.
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Anchors came in first
Before the issue opened, RentoMojo raised Rs 376.07 crore from anchor investors. Domestic mutual funds, insurance companies and pension funds took part. The list included Kotak, ICICI Prudential Quality Fund, Goldman Sachs, BlackRock Global Funds and HDFC Mutual Fund, among others.
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Why the rental model is drawing money
Founded in 2014, Bengaluru-based RentoMojo lets customers rent furniture, appliances and other household products on monthly plans instead of buying them outright. That suits young professionals who change cities every couple of years and do not want to spend on a sofa they will have to sell. The company competes with Furlenco and Cityfurnish.
The financials explain the interest. RentoMojo’s revenue from operations grew 45.5% to Rs 387 crore in FY26, while profit surged 142% to Rs 104 crore during the fiscal year. At the upper end of the price band, the company is seeking a valuation of around $444 million. The fresh issue proceeds will go towards debt repayment and general corporate purposes.
What lies ahead
The shares are expected to list on the NSE and BSE on September 17, and the issue is managed by Motilal Oswal, Axis Capital and IIFL Capital Services. A 72.87X subscription means the debut will be closely tracked, and the gap between the issue price and the listing price will tell investors how much of that demand was built on the rental business itself. For now, the company has proved something more useful than a share price. Indians will pay a monthly fee for a bed and a fridge if the paperwork is easy enough.