Rentomojo IPO: GMP signals 30% listing premium ahead of September 9 issue opening

The latest market report highlights that Bengaluru-based furniture and appliance rental firm Rentomojo is set to open its initial public offering (IPO) for subscription on September 9, with its shares commanding a healthy premium in the grey market ahead of the offering.

According to Investorgain, Rentomojo's shares were trading at a grey market premium (GMP) of Rs 123 over the upper end of its IPO price range of Rs 404 on September 7. At this premium, the implied stock-exchange debut price stands at around Rs 527, translating into a potential gain of around 30.45% over the offering price.

Grey market premiums are unofficial indicators based on market activity and investor expectations. They are not regulated and do not guarantee the stock-exchange debut performance of a stock.

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The Rs 1,255-crore Rentomojo IPO will stay open from September 9 to September 11. The firm has set the price range at Rs 384-404 per share. At the upper end of the price range, Rentomojo is seeking a valuation of around Rs 4,006.2 crore.

The offering consists of a fresh offering of shares worth up to Rs 150 crore and an offer for sale (OFS) of 2.73 crore shares. The OFS component is valued at approximately Rs 1,105.5 crore at the upper price range.

Existing market participants, including Accel India, Edelweiss, IDG Ventures India, ValueQuest, Madison India and GMO, will sell shares through the OFS. Promoter Geetansh Bamania will additionally participate in the offer for sale.

Bamania at present holds a 13.37% stake in Rentomojo. Accel India is the firm's second-largest shareholder with a 12.71% holding, followed by Chiratae Ventures at 7.68%, Edelweiss Discovery Fund at 7.42% and ValueQuest at 6.02%.

The anchor investor bidding will take place on September 8, a day before the public offering opens.

The basis of allotment is anticipated to be finalised on September 15, with the shares likely to debut on the bourses on September 17.

Rentomojo has additionally reserved shares worth Rs 2 crore for eligible employees. The employee portion will be offered at a discount of Rs 20 per share to the final offering price.

After excluding the employee reservation, 50% of the net offering has been reserved for qualified institutional buyers (QIBs), while retail market participants will have a 35% allocation and non-institutional market participants (NIIs) will be allotted 15%.

The firm plans to deploy Rs 70 crore from the fresh offering towards repayment of certain borrowings. Rentomojo's total borrowings stood at Rs 258.3 crore as of June 2026.

Another Rs 42.5 crore has been earmarked for lease rentals or licence fees for its warehouses and experience stores. The remaining funds will be used for general corporate purposes.

Rentomojo operates a technology-led, direct-to-consumer (D2C) rental and subscription platform focused on furniture and appliances. As of March 2026, it had 20 warehouses and 82 experience stores across its network, all operated on leasehold properties.

The firm stated it is India's largest online rental and subscription platform for home furniture and appliances based on live subscribers.

Rentomojo noted a net earnings of Rs 104.2 crore for the financial year ended March 2026, more than twice the Rs 43.1 crore earnings recorded a year earlier. Topline rose 45.5% year-on-year to Rs 387 crore in FY26 from Rs 266 crore in FY25.

Motilal Oswal Investment Advisors, Axis Capital and IIFL Capital Services are the book-running lead managers to the offering.