The PhysicsWallah IPO, a prominent offering in the educational technology sector this year, is in its final day of bidding on November 13. Despite having a strong brand reputation and support from anchor investors, the IPO is struggling to attract investor interest, with only a 14% subscription rate.
The latest data shows that the overall subscription rate for the IPO is 0.14 times. The retail category has a subscription rate of 0.63 times, while Qualified Institutional Buyers (QIBs) have not placed any bids yet. The Non-Institutional Investor (NII) segment has a subscription rate of 0.06 times.
Founded by Alakh Pandey, PhysicsWallah has gained popularity among students preparing for competitive exams. The company’s unique education model, which combines free online resources with affordable offline classes, has positioned it as one of the profitable players in India’s edtech sector.
InCred Equities highlighted the strength of PhysicsWallah’s business model and growth trajectory, emphasizing its large YouTube following and a strategy that converts free users into paying customers. Despite being valued at an EV/Sales multiple of 10.7x at the upper price band, InCred believes PhysicsWallah is well-equipped to disrupt the edtech industry in the long run.
While InCred recommended a “Subscribe” rating for the IPO for medium to long-term investors, SBI Securities took a more cautious approach, giving it a “Neutral” rating. SBI Securities noted that the issue is fairly valued at an EV/Sales multiple of 9.7x but raised concerns about profitability pressure despite high revenue growth.
On the other hand, Anand Rathi provided a more optimistic outlook, assigning a “Subscribe – Long Term” rating. The firm sees potential in PhysicsWallah’s hybrid model and long-term growth prospects as it expands into new educational sectors and regional markets.
The PhysicsWallah IPO is priced between Rs 103 to Rs 109 per share, with a lot size of 137 shares requiring a minimum investment of Rs 14,933 for retail investors at the upper price band. High-net-worth individuals (HNI) can invest starting at Rs 2,09,062 for 1,918 shares, while large investors need Rs 10,00,511 for 9,179 shares.
The IPO includes a special reservation of 7,52,688 shares for employees at a discounted rate of Rs 10 per share. Kotak Mahindra Capital Co. Ltd. is the book running lead manager, and MUFG Intime India Pvt. Ltd. is the registrar. The subscription period for the IPO ends today.
The Grey Market Premium (GMP) for PhysicsWallah has been consistently low, with a GMP of Rs 1.25 indicating a modest listing gain expectation. The shares are expected to be allotted on November 14, 2025, with the listing scheduled for November 18, 2025, on both BSE and NSE.