Core Viewpoint - RentoMojo, a furniture and appliance rental startup, is preparing for its IPO to become the first of its kind in India, aiming to raise up to ₹150 Crore through a fresh issue of shares and an offer for sale of up to 2.84 Crore shares [1][2]. Company Overview - Founded in 2014 by Geetansh Bamania and Ajay Nain, RentoMojo provides subscription-based rentals for furniture, appliances, and home essentials across 22 cities, operating from 21 warehouses with a portfolio of 729,000 products as of September 30, 2025 [6]. - The startup plans to utilize the capital raised from the IPO for expanding its offline presence, setting up warehouses, repaying debt, and funding general corporate purposes [1][6]. Financial Performance - For the six months ending September 30, 2025, RentoMojo reported a profit after tax (PAT) of ₹61.4 Crore on operating revenue of ₹176.6 Crore, which included a tax credit of ₹32.8 Crore [7]. - For FY25, the net profit increased by 92% to ₹43.1 Crore from ₹22.4 Crore, while operating revenue rose by 38% to ₹266 Crore from ₹192.7 Crore the previous year [7]. Shareholder Actions - Major shareholders, including Accel India, Edelweiss Discovery Fund, and Chiratae Ventures, plan to sell significant portions of their stakes through the IPO, with Accel India intending to sell 784,700 shares, Edelweiss Discovery Fund 320,300 shares, and Chiratae Ventures 290,300 shares [2][3]. - Promoter and co-founder Geetansh Bamania also plans to sell 200,700 shares via the IPO [2]. Legal Issues - Just before filing the draft red herring prospectus (DRHP), RentoMojo's ex-COO and co-founder Nain filed a complaint with the NCLT's Bengaluru bench, alleging oppression and mismanagement, and requested to halt the IPO [8]. - Nain claims that incomplete information was shared during a 2023 share sale to the RM Employee Benefit Trust, which now holds 489,300 treasury shares, or 4.83% of the company [8].