Home / Business and Economy / PhysicsWallah's ₹3,480 Crore IPO Draws Marquee Investors Amid Soaring Grey Market Premium
PhysicsWallah's ₹3,480 Crore IPO Draws Marquee Investors Amid Soaring Grey Market Premium
11 Nov
Summary
- PhysicsWallah's IPO raises ₹3,480 crore, with ₹1,562.85 crore from 57 anchor investors
- Grey market premium of ₹3 per share ahead of IPO, but premiums can change rapidly
- Company's sales and EBITDA grew over 90% in the last 3 years, but net loss widened
On November 11, 2025, the ₹3,480-crore initial public offering (IPO) of edtech platform PhysicsWallah opened for subscription in the primary market. The company had raised ₹1,562.85 crore from 57 anchor investors a day earlier, with marquee foreign investors like Capital Group, Goldman Sachs, Fidelity, Abu Dhabi Investment Council, and PineBridge participating.
According to market observers, PhysicsWallah shares were trading at a premium in the grey market ahead of the IPO, with a grey market premium (GMP) of ₹3 per share. However, grey market premiums are indicative and can change rapidly.
Over the last three years, PhysicsWallah has delivered a strong sales/EBITDA CAGR of 96.9% and 88.8%, respectively. However, the company's net loss has also widened from ₹81 crore in FY23 to ₹216 crore in FY25 due to higher depreciation expenses and impairment losses on financial assets.
While the firm continues to record strong revenue growth and enjoys high brand recall, profitability remains constrained by rising competition and elevated scaling costs. Consequently, some brokerages have assigned a 'Neutral' rating, recommending investors wait for clearer earnings visibility before taking a long-term position.
