Furniture rental startup Rentomojo is expected to file its draft papers in the coming weeks for a listing to raise about ₹1,000–1,200 crore, three people familiar with the matter said.
The firm is targeting a valuation between ₹5,000–7,000 crore for a listing and has appointed IIFL, Motilal Oswal Investment Advisors, and Axis Capital as advisors to help with the issue, the people added.
“The listing, which is expected to happen in FY27, is largely dominated by an offer for sale by existing investors with a smaller primary component to raise fresh capital for expansion plans,” one of the people cited above said on the condition of anonymity.
If it goes as planned, Rentomojo will join the growing list of startups such as PhonePe, Flipkart, Zepto, boAt, Shiprocket, Infra.Market, and OfBusiness that are looking to tap the public markets this year.
However, rising tensions in West Asia have dampened investor sentiment and impacted valuations, prompting several companies, including PhonePe, to defer their listing plans.
“The markets are uncertain and it’s difficult to see where the valuations will land,” a second person said.
Mails sent to Rentomojo, IIFL, Motilal and Axis did not elicit a response till the time of publishing.
Business model
Founded in 2014 by Geetansh Bamania and Ajay Nain, Rentomojo began with the aim to serve a new generation of urban Indian professionals who move cities frequently for work.
The startup's subscription model allows customers to rent household essentials without committing to ownership—an offering increasingly relevant for professionals, especially those working in IT and BPO jobs.
As it moves closer to an IPO, the company is increasing its focus on operational efficiency, customer trust, and scalable growth—key priorities as it transitions from a startup to a listed entity.
Last year, Mint reported that the startup was looking to raise a fresh funding round and onboard independent directors.
The company last raised ₹210 crore in February 2024 in its Series D round, which was led by Edelweiss Discovery Fund Series - I and included participation from Chiratae Ventures and Magnetic Ventures. Other investors include Accel and Bain Capital.
To address quality concerns, the company has also invested in a “phygital” retail strategy, launching physical stores across India. It operates over 50 outlets, including 27 to 29 in Bengaluru, six in NCR, and others in Pune, Hyderabad, Mumbai and Chandigarh.
Financials
Rentomojo's revenue from operations rose to ₹266 crore in FY25, compared to ₹193 crore a year earlier, according to a report by Entrackr.
It posted a third consecutive year of profit of ₹43 crore, up from ₹22 crore in FY24. Furniture and appliances each contribute 50% of Rentomojo's revenue.
Last year, Bamania noted a surge in demand for water purifiers—a key product for consumers in transferable jobs in the service industry, particularly those in mid- to lower-level management roles.
Rentomojo competes with players such as Sheela Foam-backed Furlenco, Cityfurnish, and Rentickle, among others.