The much-anticipated initial public offering of Edtech giant PhysicsWallah commenced for public subscription on Tuesday, November 11, marking a significant milestone for India's education technology sector. The IPO will remain open for investors until Thursday, November 13, offering retail and institutional investors an opportunity to own a stake in one of India's most successful edtech ventures.
IPO Details and Financial Structure
The PhysicsWallah IPO comprises two key components: a fresh issue of equity shares worth ₹3,100 crore and an offer-for-sale (OFS) of shares totaling up to ₹380 crore from the company's promoters. Both founders, Alakh Pandey and Prateek Boob, plan to divest shares valued at ₹190 crore each through the OFS route. Currently, each promoter maintains a substantial 40.31 percent stake in the company.
The price band for the IPO has been fixed in the range of ₹103 to ₹109 per share, making it accessible to a wide spectrum of investors. Market data indicates that the current grey market premium (GMP) for PhysicsWallah shares stands at ₹3, reflecting moderate investor interest ahead of the public offering.
Company Performance and Business Model
PhysicsWallah has demonstrated remarkable financial improvement in recent years. The company significantly reduced its losses to ₹243 crore for the year ending March 2025, a substantial decrease from the previous year's loss of ₹1,131 crore. Simultaneously, the edtech firm witnessed impressive revenue growth, with earnings climbing to ₹2,887 crore from ₹1,941 crore during the same comparative period.
The company operates across multiple educational segments, providing comprehensive test preparation courses for highly competitive examinations including JEE, NEET, GATE, and UPSC. Beyond traditional competitive exam coaching, PhysicsWallah has expanded its portfolio to include upskilling programs catering to the evolving needs of India's student population.
PhysicsWallah employs a diversified delivery model that combines digital platforms like YouTube, its official website, and mobile applications with physical infrastructure. The company operates tech-enabled offline centers and hybrid learning facilities that blend online instruction with face-to-face academic support, creating a comprehensive educational ecosystem.
Investor Backing and Market Position
The edtech unicorn counts several prominent investment firms among its backers, including WestBridge Capital, Hornbill, and GSV Ventures. This strong investor confidence has supported PhysicsWallah's expansion and technological enhancement initiatives across India.
The IPO represents a crucial step in PhysicsWallah's growth trajectory, providing the company with additional capital to strengthen its market position, expand its hybrid learning centers, and invest in technological innovation. The public offering also offers partial exit opportunities for the founders while maintaining their significant stakes in the company they built from scratch.
As the IPO subscription window remains open until November 13, market analysts will closely monitor investor response to this landmark offering in the Indian edtech space, which continues to evolve post-pandemic with renewed focus on sustainable business models and profitability.
