Indian Edtech Leader PhysicsWallah Targets $3.6 Billion Valuation in Upcoming IPO
- ByStartupStory | November 6, 2025
PhysicsWallah, a prominent Indian educational technology platform, is preparing to launch an initial public offering (IPO) that targets a valuation of approximately $3.6 billion (around ₹28,000 crore), highlighting the growing investor confidence in India’s booming edtech market. The IPO price band has been set between ₹103 and ₹109 per share with the subscription period scheduled from November 11 to November 13, 2025. Trading is expected to commence on leading Indian stock exchanges by November 18.
Founded in 2016 by YouTube educator Alakh Pandey, PhysicsWallah has emerged as a dominant player in the Indian online learning space, especially for competitive exams such as JEE, NEET, GATE, and UPSC. The platform’s affordability and focus on underserved Tier 2 and Tier 3 cities have helped it carve out a sizable market share, standing resilient as some major peers faced financial pressures and restructuring.
The IPO will raise ₹3,480 crore, with ₹3,100 crore coming from the issuance of fresh equity and the remainder from an offer for sale by existing shareholders, including founders Alakh Pandey and Prateek Boob, who have reduced their share sale from initial plans. Approximately 75% of the issue is allocated to qualified institutional buyers, 15% to non-institutional investors, and 10% to retail investors.
PhysicsWallah showcased robust financial growth with a reported 51% year-on-year increase in revenue, reaching ₹3,039 crore in fiscal year 2025, and a 78% rise in profit after tax to ₹193 crore. Despite its revenue growth, the company posted a loss of ₹243 crore in FY25, a significant improvement from a loss of ₹1,131 crore in FY24, underscoring progress in operational efficiency and path to profitability.
The proceeds from the IPO will be primarily used for expanding offline and hybrid learning centers, with allocations towards capital expenditure, lease payments, marketing initiatives, server and cloud infrastructure investments, and acquisitions, notably a planned stake increase in subsidiary Utkarsh Classes & Edutech Pvt. Ltd. The expansion strategy reflects PhysicsWallah’s ambition to blend digital and physical educational experiences, catering to diverse student preferences.
India’s education market is witnessing a dramatic shift fueled by rising digital adoption, increased affordability, and government reforms, projected to be valued between ₹15 to ₹16 trillion (approximately $185 to $195 billion) in FY25. The sector currently contributes about 5% of India’s GDP, with emerging urban and semi-urban regions accounting for roughly 43% of the market—a share expected to grow near 46% by 2030.
Investors remain optimistic about PhysicsWallah’s strong positioning, driven by its founder-led culture, cost-effective delivery model, and focus on quality content tailored for aspirational Indian youth. This valuation near $3.6 billion places PhysicsWallah among India’s rising unicorns in the edtech space, reflecting investor appetite for scalable, tech-driven education solutions supporting India’s growing student population.
With an overwhelming IPO subscription already reported early, PhysicsWallah’s public market debut is eagerly anticipated to further fuel its growth trajectory and reinforce innovation in India’s digital learning ecosystem.
In summary, PhysicsWallah’s IPO targeting a $3.6 billion valuation highlights the company’s market leadership amidst a robust and rapidly expanding Indian edtech sector. The IPO funds will support strategic expansion blending technology and physical learning, setting the stage for the next phase of growth in India’s online education revolution.
Follow Startup Story
Related Posts
