PhysicsWallah IPO Day 1 Live Updates: Check Key Details, GMP, Analyst Views, and Subscription
After the successful IPOs of Lenskart and Groww, the focus has now shifted to PhysicsWallah. The latest Grey Market Premium (GMP) stood at Rs 3 as of 8:35 a.m. on Tuesday, just before the IPO opened. With an upper price band of Rs 109 per share, the estimated listing price is likely to be Rs 112, as per the latest GMP.
PhysicsWallah’s Bullish Outlook on Online Education
PhysicsWallah, which remains bullish on the online medium of education, is also betting big on its offline expansion by opening new learning centres in cities where demand is high, its co-founder and CEO Alakh Pandey said. Explaining the strategy, Pandey said the company is following a hyperlocal approach, setting up city-level hubs and learning centres in regions where it currently lacks a direct presence.
This move will allow students to access PhysicsWallah’s services in their own hometowns, reducing the need to migrate to larger cities for quality coaching, he added. To learn more about the online education market in India, click here.
Anchor Allocation and Investor Interest
A total of 14 mutual funds subscribed through 35 schemes, representing 55% of the anchor allocation. They include ICICI Prudential, Motilal Oswal, Tata Mutual Fund, Edelweiss, Aditya Birla Sun Life, and Kotak Mutual Fund. American investment management giant Capital Group secured 9.9% of the anchor book issue through affiliate Smallcap World Fund, Inc.
Goldman Sachs, Fidelity, Abu Dhabi Investment Council, and PineBridge Investments LLC are the marquee foreign investors in the pre-IPO fundraise. To know more about mutual funds in India, visit our website.
IPO Subscription Status
The PhysicsWallah IPO has been subscribed 4% as of 11:50 a.m. on Tuesday. Qualified Institutional Buyers (QIBs): 0 times. Non-Institutional Investors (NIIS): 0.01 times or 1%. Retail Individual Investors: 0.18 times or 18%. Employee Reserved: 0.52 times or 52%.
Mutual funds secured more than half the allocation of PhysicsWallah Ltd. shares in the pre-IPO anchor round on Monday. The mainboard issue is set to open on Nov. 11. The company raised Rs 1,560 crore from anchor investors. It allotted 14,33,80,733 shares at Rs 109 apiece to 57 entities.
Role of Artificial Intelligence in Education
PhysicsWallah co-founder, Prateek Maheshwari said artificial intelligence has made learning hyper-personalised. He claimed AI has solved over four crore queries on their platform with 88% accuracy. The company has built up a 100-strong team for AI.
The entrepreneur, however, does not think an AI tutor can ever replace a human teacher in the near future. “If it comes, we will be at the forefront as we have the data and team to crack it,” he said. To learn more about the role of artificial intelligence in education, click here.
Investment Opportunities in the Education Sector
The education sector in India is growing rapidly, with many investment opportunities emerging. To know more about investment opportunities in the education sector, visit our website.
Conclusion
In conclusion, the PhysicsWallah IPO is an opportunity for investors to participate in the growth of the education sector in India. With its strong track record and bullish outlook on online education, PhysicsWallah is well-positioned to capitalize on the growing demand for quality education in the country.