PhysicsWallah Ltd IPO
Education
Price Band
₹103 – ₹109
Lot Size
137
Minimum Bid Quantity
137
Minimum Investment
₹14933
Issue Size
₹3480Cr
Opens
2025-11-11
Closes
2025-11-13
Listing
18-11-2025
Subscription Status
Qualified Institutional Buyers
2.7 x
Non-Institutional Investor
0.48 x
Retail Individual Investor
1.01 x
Employees
3.34 x
Total
1.8 x
IPO Details
Issue Type
EQUITY
Face Value
₹1
Tick Size
1
ISIN
INE0LP301011
Pre-Apply Available
No
Daily Bidding Time
10:00:00 - 17:00:00
About the Company
PhysicsWallah is an education platform that provides test preparation and upskilling courses. The company delivers its courses through multiple formats, including online platforms such as its website, mobile applications, and social media channels; tech-enabled offline centres where faculty members conduct live sessions; and hybrid centres that follow a two-teacher model, allowing students to attend live online classes at a physical location. Initially, PhysicsWallah focused on preparing students for the Joint Entrance Examination (JEE) and National Eligibility cum Entrance Test (NEET) examinations. Over time, it has expanded its offerings to include other competitive exams, such as the Civil Services, Graduate Aptitude Test in Engineering (GATE), and various government recruitment tests. Beyond test preparation, the company has also entered the upskilling space through its “Skills” category, which offers courses for students and professionals in areas such as data science, analytics, banking, finance, and software development. Use of proceeds: The IPO consists of both a fresh issue of shares and an offer for sale (OFS). Proceeds from the OFS will go to the respective selling shareholders, whereas the net proceeds from the fresh issue will be utilised for the following purposes: For capital expenditure related to setting up new offline and hybrid centres of the company — Rs 460.55 crore. For meeting the lease payment obligations of the Company’s existing identified offline and hybrid centres — Rs 548.31 crore. For investment in the company’s subsidiary, Xylem Learning Private Limited, to cover specified expenditure — Rs 47.17 crore. For investment in the company’s subsidiary, Utkarsh Classes & Edutech Private Limited, towards lease payments for its existing identified offline centres — Rs 28.00 crore. For expenditure related to server and cloud infrastructure — Rs 200.11 crore. For funding marketing initiatives — Rs 710 crore. For acquiring additional shareholding in the company’s subsidiary, Utkarsh Classes & Edutech Private Limited — Rs 26.50 crore. For supporting inorganic growth through potential acquisitions and for general corporate purposes.
Pros
- • In FY25, the company claims to have recorded 0.45 crore total paid users, reflecting a compound annual growth rate (CAGR) of 59.19 percent between FY23 and FY25. For the three months ended June 30, 2025, it stated that it had 0.24 crore paid users, driven by a strong student community-focused approach.
- • The company states that it supports its student community through its subsidiary, PW Foundation, which works with various non-profit organisations and independently to make education more accessible. The company further states that through initiatives such as “Utthan,” the foundation has partnered with government and private schools in Delhi, Uttar Pradesh, and Bihar to provide technological infrastructure, educational content, and free teacher training programs.
- • As of June 30, 2025, the company claims to offer courses across 13 education categories, up from six categories as of March 31, 2023. These offerings cover a student’s entire learning journey, that is, from early education and competitive exams for higher studies or government jobs to professional skill development.
Cons
- • The company suffered consistent losses in the past years. The losses were Rs 127.01 crore for the three months ended June 30, 2025, and Rs 84.07 crore for FY23, Rs 1,131.13 crore for FY24, and Rs 243.26 crore for FY25. The company’s losses in FY24 rose significantly due to a one-time increase in the net loss from the remeasurement of financial instruments at fair value, which amounted to Rs 816.64 crore compared to Rs 67.14 crore in FY23. This increase was primarily caused by a loss of Rs 756.47 crore on the fair valuation of Compulsorily Convertible Preference Shares (CCPS). The net loss from such remeasurements declined to Rs 114.63 crore in FY25, mainly due to the absence of any loss on CCPS valuation. Any further increase in the company’s losses could adversely impact its operating activities.
- • The company’s performance depends on its ability to deliver quality education, expand into new course categories, and grow its offline network. Any failure to maintain service quality or expand its presence could limit its competitiveness and ability to attract and retain students.
- • The company relies heavily on its faculty members, who are engaged either as employees or consultants. Faculty members may leave due to better pay or opportunities elsewhere, join competitors, or start their own institutes. Such departures could affect student outcomes, reputation, and overall business performance.
Get real-time IPO alerts on WhatsApp
Opening reminders • Subscription updates • GMP alerts • Allotment results
Start WhatsApp Alerts