PhysicsWallah Shares Slump 16% To INR 121 In Third Trading Session

SUMMARY

The shares of PhysicsWallah slumped 15.6% to INR 121.15 apiece on the BSE during the intraday trading today

This is the second consecutive session of decline in PhysicsWallah after a bumper debut on Tuesday (November 18)

PhysicsWallah had set a price band of INR 103-109 for its IPO, which comprised a fresh issue of INR 3,100 Cr and an OFS component of INR 380 Cr

Update | November 20, 17:41 IST

Shares of PhysicsWallah staged a recovery in the latter part of the trading session to close 1.81% lower from the previous close at INR 140.95 apiece on the BSE. The company’s market capitalisation stood at INR 40,307.37 Cr (about $4.55 Bn).

Original | November 20, 14:05 IST

Shares of edtech company PhysicsWallah slumped 15.6% to INR 121.15 apiece on the BSE during the intraday trading today.

At 13:50 IST, the stock recovered slightly and was trading 9.06% lower at INR 130.55 on the BSE. The company’s market capitalisation stood at INR 37,333 Cr (about $4.2 Bn) at the time.

This is the second consecutive session of decline in PhysicsWallah after a bumper debut on Tuesday (November 18). The company’s shares got listed at INR 143.10 on the BSE, a premium of 31.39% to the issue price of INR 109. On the NSE, the stock made its debut at INR 145.

Yesterday, the shares opened in green and later sank 10.5% to INR 138.9 apiece during the intraday trading. The stock closed the session at INR 143.55, down 7.5% from the previous close.

PhysicsWallah had set a price band of INR 103-109 for its IPO, which comprised a fresh issue of INR 3,100 Cr and an OFS component of INR 380 Cr. Prior to its public listing, the company raised INR 1,562.8 Cr from anchor investors.

With its listing, PhysicsWallah became the first major edtech company to go public in India

On the financial front, the Alakh Pandey-led edtech giant recorded a 78% jump in its consolidated net loss to INR 125.5 Cr in the first quarter of the ongoing fiscal year from INR 70.6 Cr in the same quarter last year. Meanwhile, operating revenue rose 33% to INR 847 Cr during the quarter under review from INR 635.2 Cr in Q1 FY25.

It is yet to disclose the financial results for the second quarter of the fiscal.

PhysicsWallah’s cofounders Alakh Pandey and Prateek Maheshwari, who offloaded shares via the OFS, own over 72% stake in the company post the IPO.

Ahead of the IPO, Maheshwari told Inc42 that PhysicsWallah’s USP is affordability and the company will stick to it going ahead. “This also makes our TAM as much as 30 Cr learners across multiple exam categories in addition to NEET and JEE,” he added.