PhysicsWallah keeps its IPO valuation target modest

The WestBridge-backed edtech plans to leave enough value on table for incoming investors

- Mansi Verma & Sneha Shah

The edtech has trimmed the size of its offer for sale to ₹380 crore.

PhysicsWallah Ltd's founders have kept their initial public offering (IPO) valuation goal modest, only slightly above the edtech's previous fundraise, to leave enough value on the table for incoming investors.

Private equity firm WestBridge Capital-backed edtech PhysicsWallah, which heads to the IPO street later this week, has set a price band of ₹103-₹109 per share, targeting a valuation of around ₹31,170 crore ($3.7 billion) at the upper end-the same as its February private funding round, as reported by Mint, and higher than its last publicly disclosed valuation of $2.8 billion in September 2024.

The edtech has also trimmed the size of its offer for sale (OFS) to ₹380 crore from ₹720 crore earlier, with both founders-Alakh Pandey and Prateek Maheshwari-selling shares worth ₹190 crore each. They together own about 80% of the company.

The IPO now comprises a fresh issue of₹3,100 crore and a smaller secondary component, sufficient to meet the Securities and Exchange Board of India's (Sebi's) minimum dilution requirement.