PhysicsWallah’s growth prospects justify IPO valuation despite rising losses: Analysts

PhysicsWallah, the first edtech to list on Indian exchanges, made its public market debut with a strong listing and price surge in early trade. The investor enthusiasm is in sharp contrast to the tepid response during the company’s initial public offering (IPO).

The edtech unicorn’s stretched valuation in the backdrop of widening losses has raised red flags for some. The maiden public issue valued PhysicsWallah at Rs 31,500 crore (around $3.6 billion), 30% higher than its $2.8-billion valuation after closing a $210-million funding round in…