[Update] PhysicsWallah IPO Closes With 1.8X Subscription

Update | November 13, 19:25 IST

Edtech unicorn PhysicsWallah’s IPO closed with a 1.81X oversubscription today. The public issue received bids for 33 Cr shares against 18 Cr shares on offer. 

The employees’ category saw the highest subscription at 3.49X. They placed bids for 26 Lakh shares against 7.52 Lakh shares on offer.

Qualified institutional buyers (QIBs) placed bids for 27.35 Cr shares against 10.11 Cr shares on offer, translating to 2.7X oversubscription. 

Within this segment, foreign institutional investors (FIIs) bid for 8.63 Cr shares, while mutual funds and domestic financial institutions placed bids for 16.03 Cr and 1.42 Cr shares, respectively.

The non-institutional investors’ (NIIs) segment saw only a 48% subscription, receiving bids for 2.44 Cr shares against 5.05 Cr shares on offer.

Meanwhile, retail investors’ portion was oversubscribed 1.06X, getting bids for 3.56 Cr shares compared to 3.37 Cr shares available for them.

Original | November 13, 13:15 IST

Edtech unicorn PhysicsWallah’s IPO continued to see lukewarm response, with the issue subscribed 16% till 11:00 IST on the final day of bidding today. The public issue received bids for 2.95 Cr shares against 18.62 Cr shares on offer.

Retail investors placed bids for 2.39 Cr shares against 3.37 Cr shares reserved for them, translating to 71% subscription. 

Non-institutional investors (NIIs) bid for 39.66 Lakh shares against 5.05 Cr shares earmarked for them. Their quota was subscribed a mere 8%. 

The interest from qualified institutional buyers (QIBs) remained muted on Day 3, getting bids for only 17,399 shares against 10.12 Cr shares reserved.

Meanwhile, the edtech unicorn’s employee quota was oversubscribed 2.1X, getting bids for 15.83 Lakh shares against 7.53 Lakh shares on offer. 

The company has set a price band of INR 103 to INR 109 per share for the issue which will close today. Its shares are expected to list on the bourses on November 18. 

The public issue comprises a fresh issue of up to INR 3,100 Cr and an OFS component of up to INR 380 Cr. 

PhysicsWallah plans to use INR 1,088 Cr from the proceeds to expand its offline network by setting up new coaching centres and managing leases. It has earmarked INR 710 Cr for advertising and brand building. 

At the upper end of the price band, the company is seeking a valuation of INR 31,169 Cr (about $3.5 Bn), roughly 25% higher than its last round. Cofounders Alakh Pandey and Prateek Maheshwari, who held a cumulative 80% stake pre-IPO, will together offload shares worth INR 380 Cr. 

Among the institutional investors, PE firm WestBridge is one of the largest investors in the company with a 6.4% stake. Its affiliate entity Setu AIF Trust owns another 1.39% stake. 

Hornbill Capital holds 4.42% stake, while GSV Ventures’ shareholding stands at 1.79%. VC firm Lightspeed holds 1.79% stake in PhysicsWallah. 

The edtech unicorn raised INR 1,562.8 Cr from anchor investors on Monday (November 10). 

On the financial front, PhysicsWallah posted a net loss of INR 125.5 Cr in Q1 FY26, up 78% YoY. Operating revenue rose 33% YoY to INR 847 Cr.

In FY25, the company’s consolidated net loss narrowed 78% to INR 243.3 Cr from INR 1,131.1 Cr the previous fiscal year. Operating revenue zoomed 49% to INR 2,886.6 Cr during the year from INR 1,940.7 Cr in FY24.