PhysicsWallah, following in the footsteps of Byju’s, has emerged as a prominent player in India’s educational technology sector. Founded by Alakh Pandey, the company is now gauging investor interest in the stock market. However, the initial public offering (IPO) has not garnered significant enthusiasm, with subscription numbers indicating a tepid response. Despite its strong brand recognition and sizable student base, the IPO’s opening saw low subscription rates, signaling cautious investor sentiment.
As of 2:44 PM on the first day, the IPO had only achieved a subscription rate of 0.06 times, with retail investors at 0.30 times, Qualified Institutional Buyers (QIBs) yet to bid, and Non-Institutional Investors (NIIs) at 0.02 times, underscoring a slow start. This demonstrates that even a well-known edtech brand like PhysicsWallah is not exempt from investor hesitancy, especially given concerns about high valuations and competitive pressures in the industry.
Despite PhysicsWallah’s strong reputation and extensive online following established through accessible educational content, the subdued demand persists. InCred Equities highlights PhysicsWallah’s impressive growth trajectory, leveraging a substantial YouTube community and an effective “freemium” model to convert free users into paying customers. The brokerage recommends subscribing to the IPO, particularly for medium to long-term investors, citing the company’s robust brand and ability to monetize its digital platform.
Conversely, SBI Securities takes a more cautious stance with a “Neutral” rating, emphasizing the need to monitor performance post-listing before considering substantial investments. Anand Rathi, on the other hand, is optimistic, assigning a “Subscribe – Long Term” rating based on PhysicsWallah’s hybrid model combining digital teaching scalability with physical center outreach.
The IPO, valued at Rs 3,480 crore, comprises a fresh issue of 28.44 crore shares worth Rs 3,100 crore and an Offer for Sale (OFS) of 3.49 crore shares worth Rs 380 crore. Bidding for the IPO is open from November 11 to November 13, 2025, with the allotment date set for November 14, 2025, and listing scheduled on November 18, 2025, on both BSE and NSE.
The grey market premium (GMP), indicating expected listing performance, currently stands at Rs 3, suggesting a modest estimated listing price of around Rs 112 compared to the issue price of Rs 109. This translates to a nominal 2.75% gain per share, hinting at subdued listing-day profits. Considering the valuation and early subscription trends, PhysicsWallah’s IPO appears more suitable for long-term investors banking on the brand’s future rather than short-term traders seeking rapid returns.
In conclusion, the sentiment surrounding PhysicsWallah’s IPO leans towards caution, offering steady growth potential for long-term investors while presenting limited short-term upside. It is advisable to consult with a qualified financial advisor before making any investment decisions.