PhysicsWallah’s Rs 3,480 Cr IPO to open on Nov 11; co-founders cut their OFS size

Edtech unicorn PhysicsWallah has filed its Red Herring Prospectus (RHP) for an Rs 3,480 crore initial public offering (IPO). The issue will open for subscription on November 11 and close on November 14, 2025, with anchor investor bidding starting on November 10. The company’s shares are scheduled to list on the NSE and BSE on November 18.

According to the company’s RHP, the Noida-based firm plans to raise Rs 3,100 crore through a fresh issue, while co-founders Alakh Pandey and Prateek Boob will each offload shares worth Rs 190 crore, totaling Rs 380 crore. Notably, the company has reduced its offer-for-sale (OFS) size from Rs 720 crore mentioned in the earlier draft prospectus (U-DRHP).

The IPO will be managed by Kotak, JP Morgan, Goldman Sachs and Axis Capital, while MUFG Intime will act as registrar.

From the fresh issue proceeds, the WestBridge-backed firm will allocate Rs 460.5 crore for fit-outs of new offline and hybrid centers and Rs 548.3 crore for lease payments of existing ones. It will spend Rs 28 crore on lease payments for Utkarsh Classes, Rs 26.5 crore to acquire an additional stake in it, Rs 47.16 crore for subsidiary Xylem Learning, and Rs 15.5 crore for Xylem’s lease payments.

The company will also allocate Rs 200 crore for server and cloud-related infrastructure, while it will use the largest portion of the proceeds, Rs 710 crore, for marketing initiatives and the rest for acquisitions and general corporate purposes.

As on the date of RHP, co-founders Pandey and Boob hold the largest stakes in the company at 40.31% each, followed by WestBridge Capital with 7.8%, while Hornbill Capital, GSV Ventures, and Lightspeed hold 4.41%, 2.85%, and 1.79%, respectively.

On the financial front, PhysicsWallah’s operating revenue grew 49% to Rs 2,886.6 crore in FY25 from Rs 1,940.7 crore in FY24, while its losses narrowed 79% to Rs 243 crore during the same period.