Author: Aditya Pareek | EQMint | Market News

PhysicsWallah, one of India’s fastest-growing ed-tech brands, is gearing up for its much-anticipated stock market debut as its Initial Public Offering (IPO) opens for public subscription on November 11. The offering marks a major milestone not only for the company but also for the evolving Indian ed-tech sector, which has seen a mixed phase over the last few years. With investors keenly tracking the company’s trajectory, the PhysicsWallah IPO has already generated a significant buzz in the market.

A Major Moment for India’s Ed-Tech Industry

What makes this IPO so widely discussed is the remarkable journey of PhysicsWallah. From humble beginnings as a free YouTube coaching platform to becoming a full-fledged, multi-vertical education company with millions of students, its rapid rise has set it apart from traditional ed-tech narratives. While several competitors expanded aggressively but struggled with sustainability, PhysicsWallah scaled in a more measured and cost-efficient way, enabling it to gain widespread trust—especially among aspirants in tier-2 and tier-3 cities.

This IPO signals a new chapter for the company, as it looks to transition from a private ed-tech unicorn to a publicly accountable enterprise with broader strategic ambitions.

Issue Size and Structure

The total issue size of the IPO stands at ₹3,480 crore, making it one of the larger offerings in the education sector in recent years. The issue is divided into two components:

• • Fresh Issue: ₹3,100 crore, which will directly fund the company’s growth plans.

• • Offer for Sale (OFS): ₹380 crore, allowing existing shareholders to partially exit or book profits.

This combination indicates that PhysicsWallah is not relying solely on investor exits but is primarily raising fresh capital to pursue long-term expansion.

Price Band and Lot Size

The price band for the IPO has been fixed between ₹103 and ₹109 per share. For retail investors, the minimum lot size is set at 137 shares, which means the minimum application amount will be just under ₹15,000 at the upper price band. The pricing suggests that the company is positioning itself attractively to encourage broad participation while still seeking a robust valuation.

With this range, the implied valuation of PhysicsWallah reaches approximately ₹28,000–31,000 crore, positioning it among the highest-valued ed-tech firms in India.

Grey-Market Sentiment and Early Signals

Ahead of the subscription opening, the IPO has been witnessing a positive buzz in the grey market. Reports suggest a grey-market premium (GMP) that reflects healthy investor sentiment. While GMP is not an official indicator, it often signals the confidence and excitement surrounding a company’s listing prospects. In this case, the trend demonstrates that the market expects respectable listing gains and perceives the offering as fundamentally strong.

Use of Fresh Capital: Aggressive but Structured Expansion

PhysicsWallah plans to deploy the raised capital across several high-impact growth areas. A substantial portion is earmarked for expanding its offline learning centres—one of the company’s strongest strategic moves in recent years. Although PhysicsWallah started as a purely digital platform, its hybrid model has become a defining part of its business.

Key allocation areas include:

• • Setting up new offline and hybrid learning centres

• • Leasing and upgrading existing centres

• • Investing in marketing activities to boost brand visibility

• • Strengthening server infrastructure and digital capabilities

• • Funding acquisitions and collaborations with regional education brands

• • Building capacity for expansion of subsidiary ventures

This balanced allocation shows that the company wants to solidify both its digital and offline presence, ensuring that it continues to reach aspirants across India in multiple formats.

Timeline and Investor Allocation

The IPO opens on November 11 and closes on November 13. After allotments are finalised, listing is expected around November 18 on major stock exchanges. The quota split follows standard market norms—75% reserved for Qualified Institutional Buyers (QIBs), 15% for Non-Institutional Investors (NIIs), and 10% for retail investors.

Retail participation is expected to be strong, considering the brand’s massive following among students and parents across India.

Why Investors Are Watching Closely

PhysicsWallah’s IPO stands out because it comes at a critical moment for India’s education sector. While several ed-tech platforms have struggled due to high cash burn and shrinking valuations, PhysicsWallah has maintained a reputation for stability, affordability, and value-driven growth. Investors see it as an ed-tech brand rooted in India’s mass-market reality rather than one chasing costly global expansions.

However, like any fast-growing company, challenges remain. The hybrid model demands consistent investments, and competition—both offline and online—continues to intensify. Profitability and efficient execution will be closely watched after listing.

Conclusion

The PhysicsWallah IPO is shaping up to be one of the most closely watched offerings of the year. Its strong brand, disciplined growth strategy, aggressive expansion plans, and positive early market sentiment give it a unique position in India’s evolving education landscape. Whether it transforms into a long-term market favourite will depend on how effectively it can navigate the next phase of growth while retaining the trust and affordability that built its reputation.

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Disclaimer: This article is based on information available from public sources. It has not been reported by EQMint journalists. EQMint has compiled and presented the content for informational purposes only and does not guarantee its accuracy or completeness. Readers are advised to verify details independently before relying on them.