Physics Wallah Limited has launched an Initial Public Offering to raise funds for expansion, attracting new customers, and updating of digital infrastructure. The IPO consists of a fresh issue of 28.44 crore shares worth Rs. 3,100 crore and an offer for sale of 3.49 crore existing shares worth Rs. 380 crore, totaling Rs. 3,480 crore.
The Rs. 3,480-crore initial public offering (IPO) of edtech platform PhysicsWallah opened for subscription in the primary market today at 10 a.m. The company had raised Rs. 1,562.85 crore from 57 anchor investors a day earlier. Marquee foreign investors included Capital Group, Goldman Sachs, Fidelity, Abu Dhabi Investment Council, and PineBridge.
What is the analysts’ view on the IPO
SBI Securities
SBI Securities has assigned a ‘Neutral’ rating to the IPO, stating that it prefers to monitor the company’s performance after listing. The brokerage noted that over the past three years, PhysicsWallah has achieved a sales and EBITDA CAGR of 96.9% and 88.8%, respectively.
However, the company’s net loss widened from Rs. 81 crore in FY23 to Rs. 216 crore in FY25, primarily due to higher depreciation expenses and impairment losses on financial assets.
InCred Equities
InCred Equities has assigned a ‘Subscribe’ rating to the IPO, highlighting the company’s significant growth across both its online and offline business verticals.
At the upper price band, the IPO is valued at an EV/sales multiple of 10.7x based on post-issue capital. While the valuation appears stretched, the brokerage noted that the company’s strong moat and ongoing business expansion position it well to disrupt the edtech sector. Profitability is expected to improve over the medium to long term as the business scales.
Angel One
Angel One noted that PhysicsWallah’s financials cannot be compared on a P/E basis, as the company remains loss-making and has no listed peers in the Indian edtech sector.
While the firm continues to report strong revenue growth and enjoys high brand recall, its profitability is constrained by rising competition and elevated scaling costs. Consequently, Angel One has assigned a ‘Neutral’ rating, advising investors to wait for clearer earnings visibility before taking a long-term position.
GMP of Physics Wallah Limited IPO
As of 11th November, 2025, Physics Wallah Limited’s shares were trading in the grey market at a 2.75 percent premium. The grey market price is Rs. 112 per share, which is Rs. 3 higher than the issue price of Rs. 109.
About PhysicsWallah
Physics Wallah Limited is an edtech company providing test preparation courses for exams like JEE, NEET, and UPSC, along with upskilling courses in areas such as data science, banking, finance, and software development.
It delivers education online through social media, apps, and its website, as well as via tech-enabled offline and hybrid centers. Ranked among India’s top 5 edtech firms by revenue, it has 13.7 million YouTube subscribers as of July 15, 2025.
Financials
Between FY24 and FY25, the company showed strong improvement across key financial metrics. Total assets increased significantly from Rs. 2,480.74 crore in FY24 to Rs. 4,156.38 crore in FY25.
Total income also rose sharply from Rs. 2,015.35 crore to Rs. 3,039.09 crore over the same period. Losses narrowed, with profit after tax improving from a loss of Rs. 1,131.13 crore in FY24 to a smaller loss of Rs. –243.26 crore in FY25.
Written by Sridhar J
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