Furniture rental and subscription company Furlenco is preparing for a potential initial public offering (IPO) of around Rs 1,000-1,200 crore, according to a report by The Economic Times. The Bengaluru-based company is targeting a valuation of about Rs 7,000 crore, although the final figure is expected to depend on market conditions and investor response closer to the issue.
The IPO is expected to be launched in the next financial year.
The proposed issue is expected to include a fresh capital raise along with a possible offer-for-sale (OFS) by existing investors. Furlenco is currently working with merchant bankers on the proposed listing and is expected to finalise ICICI Securities as an advisor.
The company has not publicly confirmed the details, and the reported structure could change as preparations progress.
Furlenco was founded in 2012 by Ajith Mohan Karimpana and operates a subscription-led furniture and home solutions business. Its model combines furniture design, sourcing, rental and sales, with the company positioning itself around flexible and asset-backed home furnishing solutions. Sheela Foam, the listed company behind Kurlon and Sleepwell, is Furlenco’s key backer.
Furlenco reported Rs 370 crore in operating revenue in FY26, marking a 62% year-on-year increase, according to the report. Its net profit rose nearly 19-fold to Rs 59.5 crore, while EBITDA almost doubled to Rs 129.5 crore, resulting in an EBITDA margin of around 35%.
The numbers indicate a significant shift in the company’s financial profile ahead of its proposed public-market debut.
The company most recently raised Rs 125 crore in fresh funding in December 2025, with participation from Sheela Foam, WhiteOak and investor Madhusudan Kela. Sheela Foam had initially invested Rs 300 crore in Furlenco in 2023 for a 35% stake and has since remained a key strategic investor in the business.
The proposed listing also comes shortly after rival Rentomojo’s IPO, which was subscribed around 73 times and listed on September 17. Furlenco’s IPO plans therefore come as the organised furniture-rental segment gains greater visibility in India’s public markets, with its own financial performance and proposed valuation now set to become central to the listing process.
