Key Points:
- IPO Details: The PhysicsWallah IPO, worth ₹3,480 crore, is priced at ₹103–₹109 per share, valuing the company at ₹28,426 crore.
- Fund Use: Proceeds will boost offline expansion, tech upgrades, and acquisitions; founders retain major stakes.
- Market Impact: Seen as a key test for India’s edtech IPOs, with steady revenue growth despite recent losses.
Edtech firm PhysicsWallah IPO has set the price band for its Rs 3,480 crore initial public offering (IPO) at Rs 103–Rs 109 per share, valuing the company at about Rs 28,426 crore ($3.2 billion) at the upper end. The issue will open for public subscription on Nov. 11 and close on Nov. 13, with the anchor book opening on Nov. 10.
Fresh issue and offer-for-sale details
The PhysicsWallah IPO will include a fresh issue of shares worth Rs 3,100 crore and an offer-for-sale (OFS) of Rs 380 crore by existing shareholders. Co-founders Alakh Pandey and Prateek Maheshwari have reduced their OFS component, signaling their intent to retain a larger stake and maintain long-term involvement in the company.
According to the company’s red herring prospectus (RHP), proceeds from the fresh issue will be used to expand PhysicsWallah’s offline presence, upgrade technology infrastructure, and pursue acquisitions in the test preparation and skilling segments.
Expansion and financial performance
Founded in 2020, PhysicsWallah has grown into one of India’s most prominent edtech firms, known for maintaining profitability amid sector-wide funding challenges. The company operates more than 500 offline centers under the ‘PW Vidyapeeth’ and ‘Pathshala’ brands and serves over one crore monthly active users through its digital platforms.
As per its FY25 financials, PhysicsWallah reported Rs 2,887 crore in operating revenue and a loss of Rs 243 crore. For the first quarter of FY26, the firm posted revenue of Rs 847 crore with losses of Rs 127 crore. Despite the losses, analysts view its stable revenue growth as a positive signal for potential investors.
Investor sentiment and industry impact
The PhysicsWallah IPO marks a significant test of investor sentiment toward new-age education companies after a period of reduced activity in the IPO market. A successful listing could revive interest in India’s edtech sector and encourage other players such as Unacademy and Vedantu to consider public offerings.
Market analysts suggest the response to PhysicsWallah IPO will indicate how investors are valuing growth-stage digital education businesses transitioning toward hybrid models. As the company prepares to make its market debut, attention will remain on how it balances expansion, profitability, and shareholder confidence in an evolving education landscape.
