PhysicsWallah IPO: Rapid expansion, mixed outlook; should you apply?

PhysicsWallah IPO opens on November 11 to raise ₹3,480 crore with a price band of ₹103-₹109. Analysts give mixed views as SBI Securities stays 'Neutral' and Anand Rathi suggests 'Subscribe-Long term

PhysicsWallah IPO: PhysicsWallah, an edtech company, is set to launch its initial public offering (IPO) on Tuesday, November 11, 2025. The company aims to raise ₹3,480 crore from its maiden public issue. The mainline offering comprises a combination of fresh issue of 284.4 million equity shares amounting to ₹3,100 crore and an offer for sale (OFS) of 34.9 million equity shares amounting to ₹380 crore.  

 

Under the OFS, founders Alakh Pandey and Prateek Boob will divest a part of their stake. 

 

The company has reserved not more than 75 per cent of the issue for Qualified Institutional Buyers (QIBs), not less than 15 per cent for Non-Institutional Investors (NIIs), and not less than 10 per cent for retail investors.

 

PhysicsWallah IPO GMP

On Monday, November 10, 2025, the unlisted shares of PhysicsWallah were trading at ₹113, up ₹4 or 3.67 per cent compared to the issue price of ₹109 per share, according to sources tracking unofficial markets.  ALSO READ | Can PhysicsWallah IPO ace the market test? Check key strengths, risks here

PhysicsWallah IPO: Here's what the brokerages suggest

SBI Securities

Analysts at SBI Securities noted that PhysicsWallah is a leading edtech firm with 13.7 million YouTube subscribers. The company has delivered robust revenue and Ebitda growth over the past three years, though losses have widened due to higher depreciation and asset impairments. 

 

Over the past three years, PhysicsWallah’s sales and Ebidta have grown at a CAGR of 96.9 per cent and 88.8 per cent, respectively, but its net loss has increased from ₹81 crore in FY23 to ₹216 crore in FY25.

 

"At the upper price band of ₹109, the issue is valued at an EV/Sales multiple of 9.7x based on the post-issue capital, which seems fairly valued," the brokerage said. 

 

SBI Securities maintains a 'Neutral' view on the issue, adding that it would like to monitor the performance of the company post listing.

Anand Rathi Research

Analysts at Anand Rathi have assigned a 'Subscribe - Long Term' rating to the issue, saying the issue appears fully priced. According to the brokerage, the company aim to grow their student community by offering engaging free content across platforms and converting users into paying customers through better technology, targeted marketing, and expert-led high-quality content. 

 

Additionally, the company plans to broaden its course portfolio and launch new Education Categories in multiple Indian languages to reach a wider student audience. PhyicsWallah plans to expand into new regions and enhance its offerings and tech tools by acquiring strong, student-focused businesses. 

 

"At the upper price band, the company is valued at 10.8x FY25 P/S, implying a post-issue market capitalisation of ₹3,11,699 million," the brokerage said.  ALSO READ | Check Groww IPO allotment status, GMP, listing date

Here are the key details of the PhysicsWallah IPO:

The three-day subscription window to bid for the PhysicsWallah IPO will close on Thursday, November 13, 2025. The allotment of shares is expected to be finalised on Friday, November 14, 2025. The successful allottees will receive the company's shares in their respective demat accounts on Monday, November 17, 2025. 

 

Shares of PhysicsWallah will make their debut on the exchanges, NSE and BSE, tentatively on Tuesday, November 18, 2025. 

 

The company has set the price band in the range of ₹103 to ₹109, with a lot size of 137 shares. A retail investor would require a minimum investment of ₹14,933 to bid for at least one lot and in multiples thereafter.

 

MUFG Intime India is the registrar. Kotak Mahindra Capital Company, JP Morgan India, Goldman Sachs (India) Securities, and Axis Capital are acting as the book-running lead managers for the issue.

 

According to the red herring prospectus (RHP), the company proposes to allocate ₹460.1 crore from the net fresh issue proceeds towards capital expenditure for fitouts of new offline and hybrid centres of the company, and ₹548.3 crore for lease payments of existing identified offline and hybrid centres operated by the company. Additionally, ₹4.2 crore and ₹28 crore for investment in subsidiaries Xylem Learning and Utkarsh Classes Edutech, respectively. 

 

The company plans to use ₹200.1 crore for server and cloud-related costs, ₹710 crore for marketing initiatives, and ₹26.5 crore for the acquisition of additional shareholding in subsidiary, Utkarsh Classes & Edutech. 

 

The remaining funds will be used for funding inorganic growth through unidentified acquisitions and general corporate purposes.