PhysicsWallah’s Rs 3,480 crore IPO opens: here's all you need to know

Edtech major PhysicsWallah opened its Rs 3,480 crore initial public offering (IPO) for subscription on Tuesday. This is the first public offer by an Indian edtech company after the sector’s reset following the collapse of Byju’s. The issue will close on November 13.

According to market observers, the grey market premium (GMP) for PhysicsWallah shares is around Rs 3–4, suggesting a modest 3% premium over the upper end of the price band. This indicates cautious optimism among investors after the subdued listing by Lenskart, another new-age company.

The shares are expected to list on the NSE and BSE on November 18.


IPO details

• Issue size: Rs 3,480 crore
• Price band: Rs 103–Rs 109 per share
• Estimated valuation: Around Rs 31,500 crore (about 35% more than its last valuation)
• Fresh issue: Rs 3,100 crore
• Offer for sale (OFS): Rs 380 crore (Rs 190 crore each by cofounders Alakh Pandey and Prateek Maheshwari)

How funds from the fresh issue will be used:

• Setting up new offline and hybrid centres: Rs 460 crore
• Lease payments for existing centres: Rs 548 crore
• Investments in subsidiaries: Rs 75 crore
• Funding of acquisitions and general corporate purposes

Shareholding before IPO:

• Founders Alakh Pandey and Prateek Maheshwari – 80.7%
• WestBridge – 6.4%
• Hornbill – 4.41%

Anchor investor allocation

Ahead of the IPO, PhysicsWallah raised Rs 1,563 crore from anchor investors, according to a stock exchange filing.

The anchor round attracted 57 investors , including ICICI Prudential, Kotak, Nippon Life, Franklin Templeton, Goldman Sachs, Fidelity, and Aditya Birla Sun Life.

• Total shares allotted: About 14 crore at Rs 109 per share.
• Mutual fund share: 55.48% (Rs 867 crore across 35 schemes).

Additionally, Think Investments invested Rs 136 crore through a secondary share sale, buying 10.72 million shares (0.41% pre-offer equity) from 14 employees at Rs 127 per share, 17% above the issue price.

Financial performance

For FY25, PhysicsWallah reported revenue of Rs 2,886 crore, up from Rs 1,940 crore in FY24. Losses reduced sharply to Rs 243 crore, from Rs 1,131 crore the previous year.

Online channels contributed 48.6% of total revenue.