RentoMojo Files IPO Amid Co-founder Dispute – Global South Capital Times

RentoMojo, a furniture and appliance rental startup, has filed its draft red herring prospectus (DRHP) with SEBI, signaling its intent to launch an IPO. The offering includes a fresh issue of shares worth up to ₹1.5 billion ($18 million) and an offer for sale (OFS) of up to 28.4 million shares, allowing partial exits for investors including Accel India, Edelweiss Discovery Fund, and Chiratae Ventures. Promoter Geetansh Bamania plans to sell 2.007 million shares.

Accel India, the largest shareholder, intends to sell 7.847 million shares. Edelweiss Discovery Fund and Chiratae Ventures plan to sell 3.203 million and 2.903 million shares, respectively. The startup intends to use the fresh capital to expand its offline presence, set up warehouses, repay debt, and for general corporate purposes.

Founded in 2014 by Bamania and Ajay Nain, RentoMojo operates across 22 cities with a portfolio of 729,000 products as of September 30, 2025. In the six months ending September 30, 2025, RentoMojo reported a profit after tax (PAT) of ₹614 million ($7.4 million) on operating revenue of ₹1.766 billion ($21.2 million), including a tax credit of ₹328 million ($3.9 million). For FY25, net profit rose 92% to ₹431 million ($5.2 million) from ₹224 million ($2.7 million), while operating revenue increased 38% to ₹2.66 billion ($32 million) from ₹1.927 billion ($23.1 million) the previous year.

Just hours before the DRHP filing, RentoMojo’s ex-COO and co-founder Nain moved the NCLT’s Bengaluru bench, alleging oppression and mismanagement, seeking to halt the IPO. Nain, who left the startup in 2018, claims incomplete information was shared during a 2023 share sale to the RM Employee Benefit Trust, which now holds 4.83% of the company. He has sought the restoration of his shares, the removal of the promoter from managerial roles, and to prevent the IPO. RentoMojo has filed caveats to ensure no orders are passed without hearing its side.

RentoMojo’s board includes Geetansh Bamania (chairperson, MD, and CEO), Ketan Krishna (executive director and head of people & governance), Prashanth Prakash (Accel partner), Dr Niddodi Subrao Rajan (independent director), Deepali Nair (independent director), and Dr Sandesh Madhukar Kirkire (independent director). Key managerial personnel include Hakim Fakhruddin Ujjainwala (CFO) and Deepika N Bhandiwad (company secretary and compliance officer).