By The Indus Zone Media Business Desk | November 10, 2025 | New Delhi | PhysicsWallah IPO Opens Tomorrow
The much-awaited PhysicsWallah IPO is set to open for public subscription on November 11, 2025, with a price band fixed between 103 and 109 per share. Despite high investor interest, early signs from the grey market premium (GMP) suggest a cautious sentiment, as the premium slipped below 3% ahead of the launch.
According to market trackers, PhysicsWallah’s unlisted shares were recently trading at a 2.75% premium over the IPO price — a drop from around 4.5% recorded last week. The three-day subscription window will remain open until November 13, 2025.
PhysicsWallah IPO Details
The edtech major plans to raise 3,480 crore through its public issue, which includes a fresh issue worth 3,100 crore and an offer for sale (OFS) of shares valued at ₹380 crore.
At the upper end of the price band, the IPO aims to value the company at 31,500 crore. Retail investors can apply for a minimum of 137 shares, amounting to an investment of 14,933. The share allotment is expected by November 14, with listing scheduled for November 18, 2025, on major stock exchanges.
Brokerage Opinions: SBI Securities and Angel One Stay Neutral
Despite strong brand visibility, brokerages have adopted a ‘Neutral’ rating on the IPO.
SBI Securities View
SBI Securities noted that PhysicsWallah’s financial performance remains under pressure, with net losses widening from ₹81 crore in FY23 to 216 crore in FY25 due to depreciation and impairment charges.
The brokerage valued the company at an EV/Sales multiple of 9.7x post-issue, suggesting that the IPO is fairly priced. “While PhysicsWallah remains one of the top five edtech players in India by revenue, we prefer to monitor its post-listing performance before making a call,” SBI Securities said.
Angel One Analysis
Brokerage firm Angel One also maintained a neutral stance, citing the company’s loss-making status and the absence of comparable listed peers in the Indian edtech space.
“The company has demonstrated strong revenue growth and enjoys high brand recall, but profitability remains constrained by competition and expansion costs,” the report said.
“Investors may wait for clear earnings visibility before taking a long-term position.”
Expert Insights
Market experts suggest that the PhysicsWallah IPO valuation premium over traditional education firms like MT Educare and CL Educate will be justified only if the company can sustain a 25–30% CAGR in revenue growth over the next few years.
According to Harshal Dasani, Business Head at INVasset PMS, “This listing will indicate whether India’s edtech sector can shift from valuation hype to sustainable, profit-based growth.”
Key Risks and Challenges
Analysts have highlighted several risk factors associated with the PhysicsWallah IPO:
- Dependence on Founders: The company’s growth is heavily reliant on its founders, Alakh Pandey and Prateek Boob. Their potential exit could impact brand trust and business continuity.
- Faculty Retention: Retaining top educators remains critical, and contract breaches could affect course quality and student enrollments.
- Regulatory Shifts: Frequent changes in exam formats or government education policies could require costly updates to the company’s content and delivery model.
- Offline Expansion Costs: The company’s aggressive offline center expansion could lead to higher operational expenses and continued losses.
Outlook
While PhysicsWallah has built a strong community-driven brand and established its position among India’s top edtech firms, experts remain cautiously optimistic. The IPO’s success will likely depend on investor confidence in the company’s ability to balance growth and profitability in a rapidly evolving education market.
