1. Company Overview: How PhysicsWallah Reached IPO Stage

PhysicsWallah (PW), founded by Alakh Pandey, began as a YouTube teaching initiative and rapidly evolved into one of India’s most widely recognised edtech brands. The company’s strategy has shifted from pure online education to a blended model that includes:

• Offline coaching centres

• PW Pathshala classrooms

• Test-preparation institutes

• Skill and competitive exam courses

• Low-cost learning solutions for Tier-2 and Tier-3 markets

Over the last few years, PW has expanded aggressively, but this growth has also increased operational costs. As the edtech sector normalises after the pandemic boom, companies that were once fully digital are now investing significantly in offline infrastructure — an area that demands capital and efficient management.

The IPO comes at a time when the company is looking to strengthen its financial position, enhance its offline footprint, and compete more directly with firms like Aakash, Unacademy, and Byju’s.

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2. PhysicsWallah IPO Details

Investors usually look for simple, factual information first. Here is a clear summary of the key details:

PhysicsWallah IPO Key Details

The IPO includes both fresh capital and an offer-for-sale component. The fresh issue is intended to fund expansion, debt management, and offline infrastructure.

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3. Grey Market Premium (GMP) Trends

Grey Market Premium (GMP) is often used as an unofficial indicator of sentiment. While it is not an accurate predictor of listing performance, traders monitor it to gauge early expectations.

As per publicly reported figures, the GMP for the PhysicsWallah IPO has remained modest so far, around ₹1 to ₹2 per share. This implies:

• Estimated listing price near ₹110

• Minimal premium over the upper band

• Cautious market sentiment

A low GMP is common for companies with high valuations, uncertain profitability, or niche industry risks. Investors should consider GMP as only one of many indicators, not a standalone signal.

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4. Subscription Status (Updated Based on Available Data)

Subscription patterns reveal investor confidence during the bidding window. As per publicly available updates for Day 2:

Subscription Status (Day 2)

This shows that retail investors are more active compared to institutional participants. Historically, strong QIB participation is considered a positive sign, especially for long-term stability.

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5. Valuation: Is the PhysicsWallah IPO Expensive?

Valuation is one of the most important concerns investors have expressed. Here’s a simplified breakdown:

Post-Money Valuation

At the upper price band of ₹109, the company’s valuation stands at nearly ₹31,500 crore.

Key factors influencing valuation:

Positive Factors

• Large registered student base

• Strong brand recall, especially in Tier-2 cities

• Successful hybrid model

• Large YouTube reach and strong community support

Challenges

• The company is still loss-making

• Offline expansion requires significant ongoing capital

• Edtech competition remains intense

• Profitability will take time due to high operating costs

• Revenue from offline centres is growing but margins tighten due to rentals, faculty fees, and management requirements

The valuation appears stretched compared to other education-sector IPOs, particularly as the company is still in the expansion and burn phase.

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6. Business Strengths: What Works in Favour of PW?

1. Strong Brand Presence

PhysicsWallah has built deep trust among students through years of free content and low-cost courses. This brand image is a strong moat.

2. Hybrid Expansion

PW’s offline Pathshala centres are gaining traction across multiple states. Offline coaching continues to dominate test prep in India.

3. Large and Loyal User Community

Millions of students actively use the platform; this provides recurring demand for new courses and exam categories.

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7. Key Risks to Consider

1. Profitability Pressure

Most edtech players, including PW, face operational challenges as they scale offline centres.

2. Intense Competition

Aakash, Unacademy, Adda247, and Byju’s remain strong competitors with established offline networks.

3. High Customer Acquisition Cost in Edtech

Edtech growth stabilised post-pandemic, and companies now invest heavily in marketing to retain users.

4. Regulatory Shifts

Education guidelines evolve frequently, affecting operational flexibility.

5. Limited Short-Term Listing Momentum

Modest GMP and institutional subscription indicate limited near-term excitement.

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8. Listing Date and Timelines

Here is the complete timeline:

Investors can track allotment status through the exchange website or registrar portal.

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9. Should You Apply for the PhysicsWallah IPO?

A. Suitable For Long-Term Investors Who:

• Believe in the long-term edtech + offline coaching opportunity

• Are comfortable with loss-making companies in growth phase

• Can wait for hybrid learning profitability

B. Not Ideal For Investors Who Seek:

• Quick listing gains

• Low-risk, dividend-oriented investments

• Companies with consistent profit track record

Investor Verdict (Neutral and Informational)

The PhysicsWallah IPO presents a case for long-term thematic investors who trust the future of hybrid education in India.
However, short-term traders seeking immediate listing gains may find the issue less attractive based on current GMP and subscription momentum.

Investment decisions should be based on risk appetite, time horizon, and understanding of the edtech business cycle.

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10. Frequently Asked Questions (FAQs)

1. What is the price band for the PhysicsWallah IPO?

The price band is set between ₹103 and ₹109 per share, with a lot size of 137 shares for retail investors.

2. What is the current GMP for the PW IPO?

Recent updates show the GMP around ₹1–₹2, indicating modest listing expectations. GMP is unofficial and should not solely drive decision-making.

3. What is the subscription status of the PhysicsWallah IPO?

By Day 2, overall subscription stood near 12–13%, with retail participation stronger than institutional categories.

4. What is the listing date for the PhysicsWallah IPO?

The expected listing date is November 18, 2025, following allotment on November 14 and refund initiation on November 17.

5. Is the PhysicsWallah IPO good for listing gains?

Given the modest GMP and cautious subscription, listing gains appear limited. Long-term investors may evaluate fundamentals instead of short-term momentum.

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Conclusion

The PhysicsWallah IPO offers investors exposure to one of India’s fastest-growing education brands. Its hybrid model, community trust, and diversified offerings provide long-term potential. However, the valuation, profitability challenges, and muted early market sentiment mean investors should approach with measured expectations.

For individuals seeking to participate in the growth of India’s education sector, this IPO may be worth studying carefully. Those looking for quick gains may want to track subscription momentum before deciding.