PhysicsWallah IPO: Issue off to slow start on Day 2; retail investors show early interest – The Times of India

The initial public offering (IPO) of edtech unicorn PhysicsWallah drew a muted response on the second day of bidding, with only 10% subscription recorded so far. The Rs 3,480-crore IPO, which opened earlier this week, will close for bidding on November 13.According to data available on the National Stock Exchange (NSE) till 11:30 am on Wednesday, investors placed bids for 1,83,06,625 shares against the total issue size of 18,62,04,143 shares. The retail individual investors (RII) portion was subscribed 46%, while non-institutional investors (NII) subscribed 4%. The qualified institutional buyers (QIB) segment, however, saw no participation for the second consecutive day, as per news agency PTI.Before the issue opened to the public, PhysicsWallah raised Rs 1,563 crore from anchor investors on Monday, the company said. This IPO marks a significant milestone as the first major pure-play edtech company to seek a stock market listing in India.The company has set a price band of Rs 103-109 per share, valuing it at over Rs 31,500 crore at the upper end. The issue consists of a fresh share sale worth Rs 3,100 crore and an Offer for Sale (OFS) of up to Rs 380 crore by the promoters.Both Alakh Pandey and Prateek Boob, the company’s co-founders, will each sell shares worth Rs 190 crore through the OFS. They currently hold 40.31% stake each in the Noida-based edtech firm.PhysicsWallah had filed its draft documents with Sebi in March under the confidential pre-filing route and obtained the regulator’s nod in July. The company later submitted its updated Draft Red Herring Prospectus (DRHP) in September, followed by the RHP. The confidential filing method allowed the startup to keep key IPO details undisclosed until advanced stages of the process.The company said that funds raised through the IPO will be used to support expansion and growth initiatives. PhysicsWallah provides test preparation courses for competitive exams like JEE, NEET, GATE, and UPSC, along with various upskilling programmes. Its content is offered through YouTube, its website, mobile apps and a mix of offline and hybrid learning centres.The edtech firm, backed by WestBridge Capital, Hornbill, and GSV Ventures, reduced its losses to Rs 243 crore in the financial year ended March 2025, down from Rs 1,131 crore a year earlier. Its revenue increased to Rs 2,887 crore from Rs 1,941 crore during the same period, according to PTI.PhysicsWallah’s shares are scheduled to debut on the stock exchanges on November 18.