Copyright thehindubusinessline
Edtech major Physicswallah's initial public offer will open on 11 November 2025, and the company has set a price band of ₹103 to ₹109 for its initial public offering (IPO). At the upper end of the price band, the IPO will value the company at ₹31,169 crore. Notably, the company was last valued at $2.8 billion during its funding round in September 2024. The anchor bidding for Physicswallah's public issue will take place on November 10 (Monday), while the issue will close on November 13. The shares are expected to list on the exchanges on November 18. Existing investors like WestBridge Capital, Hornbill Capital, GSV Ventures and Lightspeed are not offloading stakes in the IPO. While Pandey and Boob currently hold 40.31 per cent stake each in the company, WestBridge has 6.40 per cent stake. GSV Ventures and Lightspeed hold 2.85 per cent and 1.79 per cent stake, respectively, in Physicswallah. The total offer size comprises a fresh issue of equity shares of face value of ₹1 each aggregating up to ₹3,480 crore. The IPO includes a fresh issue of equity shares of face value ₹1 each aggregating up to ₹3100 Crores and an offer for sale of equity shares of face value ₹1 each aggregating up to ₹380 Crores. The company proposes to utilise the net proceeds from the issue towards multiple strategic objectives. Around ₹460.551 crore is earmarked for capital expenditure on fit-outs of new offline and hybrid centers, while ₹548.308 crore will go towards lease payments for existing identified centres operated by the company. An investment of ₹47.168 crore is planned in its subsidiary, Xylem Learning Private Ltd, including ₹31.648 crore for setting up new offline centres (“New Xylem Centres”) and ₹15.520 crore for lease payments of existing Xylem centres and hostels. A further ₹28.002 crore will be invested in Utkarsh Classes & Edutech Private Limited to meet lease payment obligations for its existing offline centres. Additionally, ₹200.106 Crores is allocated towards server and cloud-related infrastructure, and ₹710 Crores towards marketing initiatives. The company also plans to spend ₹26.5 crore to acquire an additional shareholding in its subsidiary, Utkarsh Classes & Edutech Private Limited. The remaining proceeds will be utilised for funding inorganic growth through unidentified acquisitions and for general corporate purposes. At the end of Q1 FY26, PW operated 303 centres across six business verticals. This was a 68 per cent jump from the 182 centres operated by it a year ago. On the financial front, the edtech company reported a net loss of ₹125.5 crore in the first quarter of the ongoing fiscal year (Q1 FY26), up 78 per cent from ₹70.6 crore a year ago. Operating revenue rose 33 per cent to ₹847 crore during the quarter from ₹635.2 crore in Q1 FY25. In FY25, PW managed to narrow its net loss by 78 per cent to ₹243.3 crore, while revenue from operations jumped 49% y-o-y to ₹2,886.6 crore. Kotak Mahindra Capital Company Limited, JP Morgan India Private Ltd, Goldman Sachs (India) Securities Private Ltd and Axis Capital Ltd are the bankers to the issue Published on November 6, 2025
