PhysicsWallah IPO Day 2 LIVE: Issue Receives 12% Subscription So Far, GMP Falls To Rs 1.5

PhysicsWallah IPO Day 2 LIVE: Issue Receives 12% Subscription So Far, GMP Falls To Rs 1.5

PhysicsWallah IPO Day 2 Live Updates: The initial public offering (IPO) of PhysicsWallah is witnessing the second day of bidding today, Wednesday, November 12. The Rs 3,480-crore will conclude on Thursday, November 13. The price band has been fixed in the range of Rs 103-Rs 109 apiece. On the first day of bidding on Tuesday, the issue received an 8 per cent subscription.

The IPO includes a fresh issue of Rs 3,100 crore and an offer-for-sale (OFS) of Rs 380 crore by co-founders and promoters Alakh Pandey and Prateek Maheshwari.

Together, the promoters currently hold 80.62 per cent of the company, which will reduce to 72 per cent post-IPO. Notably, none of the early investors will sell their stakes in this offering.

PhysicsWallah IPO Key Dates

Its share allotment will be finalised on Friday, November 14, and the market listing will take place on November 18 on both the BSE and the NSE.

PhysicsWallah IPO GMP Today

According to market observers, unlisted shares of PhysicsWallah Ltd are currently trading at Rs 110.2 apiece in the grey market, which is a premium of Rs 1.5 or 1.38% over the upper IPO price of Rs 109, indicating weak listing.

The GMP had stood at 4.5% a few days ago.

The GMP is based on market sentiments and keeps changing. ‘Grey market premium' indicates investors' readiness to pay more than the issue price.

PhysicsWallah IPO: Should You Apply?

Brokerages have expressed mixed views on the much-awaited PhysicsWallah (PW) IPO, with some recommending a cautious approach while others see long-term value in the edtech firm's growth story.

SBI Securities maintained a ‘Neutral' stance, saying it would prefer to monitor the company's performance post listing. The brokerage noted that PhysicsWallah, which offers test-preparation and upskilling courses, ranks among India's top five edtech companies by revenue. However, it pointed out that the company's net loss widened from Rs 81 crore in FY23 to Rs 216 crore in FY25, driven by higher depreciation and impairment losses on financial assets.

“At the upper price band of Rs 109, the issue is valued at an EV/Sales multiple of 9.7x based on the post-issue capital, which seems fairly valued,” SBI Securities said.

Incred Equities recommended subscribing to the IPO, stating that PhysicsWallah is “reshaping the industry's economics”. The brokerage said, “At the upper end of the price band, the IPO is valued at an EV/Sales multiple of 10.7x (based on post-issue capital). This appears demanding, but when placed in the broader context of India's listed new-age peers, the valuation is broadly in line.”

It compared PW's valuation to other digital-first players such as PB Fintech (14.4x), Nykaa (8.5x), and Eternal (14.6x), arguing that the market continues to assign premium valuations to scalable, asset-light tech platforms.

Retail: 0.58x

Non-institutional investors: 0.06x

Qualified institutional buyers: Nil

Total: 0.13x

The grey market premium (GMP) remains at 1.38%, indicating weak listing.

Incred Equities recommended subscribing to the IPO, stating that PhysicsWallah is “reshaping the industry's economics”. The brokerage said, “At the upper end of the price band, the IPO is valued at an EV/Sales multiple of 10.7x (based on post-issue capital). This appears demanding, but when placed in the broader context of India's listed new-age peers, the valuation is broadly in line.”

It compared PW's valuation to other digital-first players such as PB Fintech (14.4x), Nykaa (8.5x), and Eternal (14.6x), arguing that the market continues to assign premium valuations to scalable, asset-light tech platforms. “The company's ability to blend online scalability with physical reach gives it an advantage over pure-play digital models. As offline centres mature and yield stable cash flows, and as employee and professional costs stabilise, we expect steady improvement in operating profitability,” Incred Equities added.

Expansion of offline and hybrid centers and related lease payments.

Investment in technology infrastructure and marketing initiatives.

Funding for acquisitions, inorganic growth, and general corporate purposes

SMIFS also issued a bullish view, calling PhysicsWallah “one of India's top five education companies by revenue” and “the fastest-growing player in the segment”. The brokerage highlighted that PW's paid user base grew at a 59.2% CAGR between FY23 and FY25, reaching 4.46 million users, supported by a vast digital ecosystem of 207 YouTube channels with nearly 99 million subscribers.

SMIFS noted that about 93% of PW's paid users are online, while its offline reach continues to expand through 303 centres in Q1FY26, up from 198 in FY25, with plans to reach 500 centres within three years. The brokerage said operational efficiency has improved significantly, with centre breakeven time reducing from 24 months in FY24 to 12 months expected in FY26.

Strategic acquisitions such as Xylem (South India), Utkarsh Classes (government exams), Knowledge Planet (Middle East), and Guiding Light (Sarrthi IAS) have helped PW diversify regionally and across categories.

Retail: 0.55x

Non-institutional investors: 0.05x

Qualified institutional buyers: Nil

Total: 0.12x

The grey market premium (GMP) remains at 1.38%, indicating weak listing.

Retail: 0.56x

Non-institutional investors: 0.04x

Qualified institutional buyers: Nil

Total: 0.12x

The grey market premium (GMP) remains at 1.38%, indicating weak listing.

Retail: 0.54x

Non-institutional investors: 0.04x

Qualified institutional buyers: Nil

Total: 0.12x

The grey market premium (GMP) remains at 1.38%, indicating weak listing.

SMIFS also issued a bullish view, calling PhysicsWallah “one of India's top five education companies by revenue” and “the fastest-growing player in the segment”. The brokerage highlighted that PW's paid user base grew at a 59.2% CAGR between FY23 and FY25, reaching 4.46 million users, supported by a vast digital ecosystem of 207 YouTube channels with nearly 99 million subscribers.

SMIFS noted that about 93% of PW's paid users are online, while its offline reach continues to expand through 303 centres in Q1FY26, up from 198 in FY25, with plans to reach 500 centres within three years. The brokerage said operational efficiency has improved significantly, with centre breakeven time reducing from 24 months in FY24 to 12 months expected in FY26.

Strategic acquisitions such as Xylem (South India), Utkarsh Classes (government exams), Knowledge Planet (Middle East), and Guiding Light (Sarrthi IAS) have helped PW diversify regionally and across categories.

Of the raised capital via fresh issue, company will invest Rs 28 crore in its subsidiary Utkarsh Classes. PhysicsWallah's subsidiary Utkarsh classes is a coaching platform for the preparation of government exams like UPSC, SSC, NDA, etc. The edutech firm will also use this amount for the lease payments of the offline centres of Utkarsh.

Retail: 0.49x

Non-institutional investors: 0.04x

Qualified institutional buyers: Nil

Total: 0.11x

The grey market premium (GMP) remains at 1.38%, indicating weak listing.

The price band has been fixed in the range of Rs 103-Rs 109 apiece. The IPO includes a fresh issue of Rs 3,100 crore and an offer-for-sale (OFS) of Rs 380 crore by co-founders and promoters Alakh Pandey and Prateek Maheshwari.

The Rs 3,480-crore will conclude on Thursday, November 13. Its share allotment will be finalised on Friday, November 14, and the market listing will take place on November 18 on both the BSE and the NSE.

Retail: 0.46x

Non-institutional investors: 0.03x

Qualified institutional buyers: Nil

Total: 0.10x

The grey market premium (GMP) remains at 1.38%, indicating weak listing.

Incred Equities recommended subscribing to the IPO, stating that PhysicsWallah is “reshaping the industry's economics”. The brokerage said, “At the upper end of the price band, the IPO is valued at an EV/Sales multiple of 10.7x (based on post-issue capital). This appears demanding, but when placed in the broader context of India's listed new-age peers, the valuation is broadly in line.”

It compared PW's valuation to other digital-first players such as PB Fintech (14.4x), Nykaa (8.5x), and Eternal (14.6x), arguing that the market continues to assign premium valuations to scalable, asset-light tech platforms. “The company's ability to blend online scalability with physical reach gives it an advantage over pure-play digital models. As offline centres mature and yield stable cash flows, and as employee and professional costs stabilise, we expect steady improvement in operating profitability,” Incred Equities added.

SBI Securities maintained a ‘Neutral' stance, saying it would prefer to monitor the company's performance post listing. The brokerage noted that PhysicsWallah, which offers test-preparation and upskilling courses, ranks among India's top five edtech companies by revenue. However, it pointed out that the company's net loss widened from Rs 81 crore in FY23 to Rs 216 crore in FY25, driven by higher depreciation and impairment losses on financial assets.

“At the upper price band of Rs 109, the issue is valued at an EV/Sales multiple of 9.7x based on the post-issue capital, which seems fairly valued,” SBI Securities said.

Retail: 0.42x

Non-institutional investors: 0.03x

Qualified institutional buyers: Nil

Total: 0.09x

The grey market premium (GMP) remains at 1.38%, indicating weak listing.

Global investment firm Think Investments has invested a little over Rs 136 crore in edtech unicorn PhysicsWallah as part of a pre-IPO funding round.

Think Investments is a USD 4 billion global investment firm, focusing on backing technology-driven early-stage businesses. In India, Think Investments has built a diverse portfolio with investments in some of the prominent companies, including Swiggy, FirstCry, Urban Company, PharmEasy, Experian, Spinny, NSE, Star Health, Meesho, Rapido, Chaayos, and Dream11.

Source: News18
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