PhysicsWallah IPO Opens November 11

1. PhysicsWallah IPO Opens November 11 The much-awaited PhysicsWallah IPO is set to open on November 11, 2025, marking a significant milestone for India’s edtech sector. The company aims to raise ₹3,480 crore to support its expansion and technological initiatives. The IPO will close on November 13, with anchor investor allocations scheduled for November 10, as per its Red Herring Prospectus (RHP). IPO Structure and Offer for Sale (OFS) The PhysicsWallah IPO includes: ● Fresh issue: ₹3,100 crore worth of new equity shares. ● Offer for Sale (OFS): ₹380 crore by promoters Alakh Pandey and Prateek Boob, each offloading ₹190 crore worth of shares. Currently, both founders hold a 40.31% stake each in the company. The remaining shares are held by institutional investors like WestBridge Capital, Hornbill, and GSV Ventures. Background and Pre-Filing Process PhysicsWallah filed its draft papers in March 2025 under SEBI’s confidential pre-filing route, allowing the company to keep details private until final approval. The company received clearance in July and later filed an updated DRHP in September, followed by the RHP submission. The confidential route helped the company prepare for the IPO while maintaining strategic flexibility and competitive discretion in India’s dynamic edtech market. Fund Utilisation Plan PhysicsWallah intends to allocate the IPO proceeds strategically across its business verticals. Key allocations include: ● ₹460.5 crore for new offline and hybrid centre fit-outs. ● ₹548.3 crore for lease payments on existing centres. ● ₹47.2 crore investment in subsidiary Xylem Learning for expansion and hostel facilities. ● ₹33.7 crore to Utkarsh Classes & Edutech for lease payments. ● ₹200.1 crore for strengthening server and cloud infrastructure. ● ₹710 crore for marketing and brand-building initiatives. ● ₹26.5 crore to acquire an additional stake in Utkarsh Classes. This detailed utilisation plan reflects the company’s strategy to strengthen both its online and offline presence while enhancing its technological backbone.

2. About PhysicsWallah Founded in Noida, PhysicsWallah offers test preparation courses for JEE, NEET, GATE, UPSC, and several upskilling programs. It operates through online platforms, tech-enabled offline centres, and hybrid models combining in-person and digital learning. Its YouTube channel, Physics Wallah – Alakh Pandey, had 13.7 million subscribers as of July 2025. Collectively, its YouTube network reached 98.8 million subscribers by June 2025, growing at a 41.8% CAGR between FY23 and FY25. Financially, the company reduced its losses to ₹243 crore in FY25 from ₹1,131 crore a year earlier, while revenue rose to ₹2,887 crore from ₹1,941 crore. Lead managers for the IPO include Kotak Mahindra Capital, J.P. Morgan India, Goldman Sachs (India) Securities, and Axis Capital. India’s Edtech Industry Outlook India’s edtech sector has experienced massive growth since the pandemic disrupted traditional education. According to IBEF and PGA Labs, India’s education market is expected to double from US$117 billion in 2020 to US$225 billion by 2025, with edtech alone projected to touch US$10 billion. Key growth drivers include: ● Rising internet and smartphone penetration. ● Increasing online content consumption. ● Greater demand for skilled and employable professionals. As digital learning becomes mainstream, edtech firms are evolving into hybrid models to sustain growth. Competition Landscape PhysicsWallah competes with major Indian edtech platforms such as Byju’s, Unacademy, and Vedantu, alongside niche players like Klassroom, Embibe, and Aakash Educational Services Limited. Despite intense competition, PhysicsWallah’s focus on affordability and hybrid learning gives it a strong competitive edge. Conclusion The PhysicsWallah IPO represents more than just a public listing—it’s a statement about the resilience and evolution of India’s edtech ecosystem. With a balanced fund allocation plan, growing profitability, and expanding offline footprint, the company is positioning itself for sustained growth in the years ahead.