Rentomojo makes a strong debut. The stock listed at Rs 482.45 per share on NSE. This is a 19% premium to the issue price fixed at Rs 404 per share.
This Rs 1,256 crore IPO was subscribed 51 times. It was a combination of a fresh issue worth Rs 150.06 crore and an offer for sale of Rs 1.105.51 crore.
About Rentomojo
Incorporated in April 2012, Rentomojo operates a technology- driven, full-stack direct-to-consumer (“D2C”) online rental and subscription platform for furniture and appliances in India. As per the DRHP, the company is the largest online rental and subscription platform for home furniture and appliances based on live subscribers and subscription revenue amongst leading home furniture and appliance rental platforms in India.
The company operates through an omni-channel mechanism combining its online ordering platform with 82 experience stores across India, and has a comprehensive portfolio of 851,184 live items across furniture and appliances. Occupancy rates remained healthy at 83.34% in FY26 as per the company’s IPO note.
Rentomojo: Expert view
The Rentomojo IPO got a ‘Subscribe’ rating from many brokerages. According to a note by Anand Rathi, “The company’s key competitive advantage lies in its extensive, exclusive pipeline distribution network spanning 60,151 metres as of July 31.”
They believe that “high entry barriers, including limited space availability within established industrial clusters and customers’ reluctance to create multiple steam landing points, provide meaningful protection against competing networks and support long-term customer stickiness.”
According to Anand Rathi, the business remains capital intensive and exposed to subscriber defaults, rental demand, geographic concentration and execution. the company’s strong revenue growth, recurring revenue profile, increasing subscriber base, high asset occupancy and potential for further operating leverage provide support for a premium valuation.”