Post by : Badri Ariffin

The much-awaited initial public offering (IPO) of PhysicsWallah is all set to open for public subscription on November 11, marking a key moment for India’s growing edtech sector. Despite strong curiosity from investors, early signs suggest a tepid market debut for the platform known for its affordable test-prep courses.

In the grey market, PhysicsWallah’s unlisted shares were trading at a modest 2.75% premium over the IPO price, down from 3.67% a day earlier and 4.59% last week, according to Investorgain data. IPO Watch also indicated a similar sentiment, showing a 3.66% premium — hinting that initial hype may be cooling off before listing.

PhysicsWallah aims to raise Rs 3,480 crore through the offering, which includes a fresh issue of Rs 3,100 crore and an offer for sale (OFS) worth Rs 380 crore. The IPO will remain open until November 13, with a price band of Rs 103–109 per share. Investors can bid for a minimum of 137 shares, translating to a minimum investment of Rs 14,933 at the upper end.

The company targets a valuation of over Rs 31,500 crore at the top price range. Allotment results are expected by November 14, with shares likely to list on the bourses on November 18.

PhysicsWallah, founded by Alakh Pandey and Prateek Boob, has rapidly grown into one of India’s top five edtech players by revenue, offering a mix of online and offline learning options. However, its financials show widening losses — from Rs 81 crore in FY23 to Rs 216 crore in FY25 — driven by higher depreciation and impairment expenses.

While market experts note that the IPO appears fairly valued, concerns linger around its ability to sustain growth in an increasingly competitive edtech landscape. The company’s dependence on its founders, and the need to constantly adapt to changing exam patterns, remain potential challenges ahead.

As the subscription window opens, investors will be watching closely to see if PhysicsWallah’s classroom success story can translate into stock market strength.

#Business News